Abu Dhabi AI investor MGX is taking a stake in social media app TikTok, alongside Oracle and private equity firm Silver Lake, as part of a transaction greenlit by US President Donald Trump that allows TikTok to continue to run in the US by trimming Chinese ownership, CNBC and Reuters report. US Vice President JD Vance said the transaction — which was approved through an executive order by Trump — values the company at USD 14 bn. The value of the transaction — which was announced through a White House statement — was not disclosed.

The three entities will together reportedly hold a 45% stake in the firm, giving each of them a 15% stake, while TikTok’s Chinese owner ByteDance would retain a <20% stake to comply with a US law that would ban TikTok if it does not sell off its US assets. New investors would own the remaining shares.

The three firms are also set to receive board seats as part of the transaction, Bloomberg reports. Under the agreement, ByteDance would appoint one of seven board members for the new entity, while Americans will hold the remaining six seats, Reuters quotes a senior White House official as saying.

The caveat: There has yet been no confirmation from ByteDance that the transaction is happening, or that it has amended laws that would require changes in order for it to take place, CNBC said. The agreement follows talks between Trump and Chinese President Xi Jinping, out of which there were reports that the two sides had reached an agreement on the future of TikTok’s ownership.

REMEMBER- The US and the UAE are emerging as key AI partners — and MGX is at the crux of the partnership. The AI investor — which is overseen by National Security Advisor Sheikh Tahnoon bin Zayed Al Nahyan — is planning to invest USD 8-10 bn annually in AI infrastructure and companies, with a focus on the US market. Sheikh Tahnoon’s visit to Washington in March had seen the UAE commit USD 1.4 tn in investments in the US.

It’s already committed to several big US projects and transactions. The investment firm recently joined Silver Lake in acquiring a majority stake in US firm Intel’s programmable chip unit, Altera. It is also contributing to the initial USD 100 bn phase of the Stargate AI infrastructure fund, a JV formed between OpenAI, SoftBank Group, Oracle, and MGX to invest in AI infrastructure, and is backing a USD 30 bn AI infrastructure fund launched by BlackRock and Global Infrastructure Partners. It has a goal of reaching USD 100 bn in assets.

The story is getting plenty of play in the foreign press: Guardian | New York Times | Wall Street Journal | Washington Post

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