The future of TikTok in the United States has been a topic of ongoing concern and speculation. However, recent developments indicate that a resolution may be on the way. Despite the “divest-or-ban” law, which has been in effect since January, TikTok has experienced only one day of service disruption in the US.

Reports suggest that a new comprehensive agreement could facilitate the end of the TikTok ban in the country. According to a report from The Information, a sale of TikTok is imminent, along with the development of a new app entirely. This new app could help ease the national security worries that have been expressed regarding its ownership by the China-based company, ByteDance.

Authorities have primarily raised concerns over user data privacy and potential foreign influence, leading to the introduction of the “Protecting Americans from Foreign Adversary Controlled Applications Act.” This law requires TikTok to divest its US operations or face a ban. The latest reports suggest that the Trump administration is close to a deal involving a sale to a group of non-Chinese investors, including the tech giant Oracle. Importantly, ByteDance would retain only a minority stake in the deal, allowing TikTok to comply with the legislative requirements.

However, approval from the Chinese government will still be necessary for the deal to proceed. In a notable twist, TikTok is already working on a completely separate version of its app, code-named “M2.” This new app is expected to launch in app stores by September 5th and could eventually replace the original TikTok, which will remain functional until March 2026. This strategic separation aims to address data security concerns, while collaborations like Oracle’s cloud infrastructure agreement with the federal government stand to strengthen its position.

With the deadline for the ban extension looming in mid-September, the combination of a potential sale and the introduction of a new app may offer a viable solution to secure TikTok’s future in the US, aligning with government demands while enabling ByteDance to maintain an interest in the venture.