TikTok is racing to create a new version of its app specifically for American users as the clock ticks down on a government-mandated deadline to sell its U.S. operations.
The popular video-sharing platform plans to launch this new app, known internally as “M2,” in U.S. app stores by September 5, 2025. This comes just days before the September 17 deadline when TikTok’s Chinese parent company ByteDance must sell the app’s U.S. business or face a nationwide ban.
The current version of TikTok would continue working until March 2026, giving users a six-month transition period before they must switch to the new app to keep using the service.
President Donald Trump confirmed last week that a potential deal is taking shape. “I think we’re gonna start Monday or Tuesday talking to China, perhaps President Xi or one of his representatives, but we would pretty much have a deal,” Trump told reporters on July 4.
The president added that a group of “very wealthy people” are ready to purchase TikTok’s U.S. operations, though he hasn’t yet revealed who these buyers are. Reports suggest Oracle may be involved in the deal, with ByteDance likely keeping a minority stake.
This latest development follows years of concern from U.S. lawmakers about TikTok’s Chinese ownership. Congress passed the “Protecting Americans from Foreign Adversary Controlled Applications Act” last year, requiring ByteDance to sell TikTok’s U.S. business. The Supreme Court upheld this law in January 2025.
Trump has already granted three extensions to the original January 19 deadline. The most recent extension pushed the cutoff date to mid-September, giving negotiators more time to finalize the complex deal.
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A major hurdle remains: getting approval from the Chinese government. China has previously blocked similar deals, particularly when they involve transferring TikTok’s proprietary algorithm, which it considers a strategic national asset under its National Intelligence Law.
Trump acknowledged this challenge, saying, “I’m not confident, but I think so. President Xi and I have a great relationship, and I think it’s good for them. I think the deal is good for China and it’s good for us.”
The stakes are high for TikTok’s 170 million American users and the 7.5 million U.S. businesses that use the platform. Content creators and advertisers face uncertainty about whether their followers, content, and business connections will transfer smoothly to the new app.
The separate U.S. version of TikTok represents a significant step in what tech experts call the “splinternet” – the growing fragmentation of the internet along national boundaries. If implemented, American TikTok users would operate in a digitally separate environment from global users, potentially with different content rules and data practices.
The move would address Washington’s concerns about data security by housing U.S. user information on American-controlled servers and software. This restructuring aims to prevent potential access to American user data by the Chinese government – an accusation TikTok has consistently denied.
Previous attempts to sell TikTok’s U.S. operations stalled earlier this year after China indicated it wouldn’t approve such a deal following Trump’s announcement of steep tariffs on Chinese goods. The current negotiations are happening during a temporary trade truce between the two countries.As the September deadline approaches, both TikTok users and investors are watching closely to see if this unusual dual-app strategy and ownership change will finally resolve the years-long standoff over the platform’s future in America.
