U.S. Justice Department Rules TikTok No Longer Subject to Federal Device Ban
The U.S. Department of Justice ruled that TikTok is no longer subject to the federal government device ban because its U.S. business has been restructured, with U.S. investors holding control and Oracle providing technology support. This legal confirmation of compliance significantly reduces policy risk for brands advertising on TikTok.
What are the key facts?
- 1Ruling date: July 18, 2026
- 2Main reason: TikTok’s U.S. business was restructured under U.S. capital control
- 3Joint-venture structure: U.S. investors hold 80.1%
What happened?
On July 18, 2026, the Office of Legal Counsel at the U.S. Department of Justice issued an opinion ruling that the federal device ban targeting TikTok no longer applies. TikTok’s U.S. business has been restructured as an independent joint venture in which U.S. investors hold 80.1%, while Oracle is responsible for data security. This compliance shift removes significant uncertainty around platform operations and provides brands with more room for advertising and marketing on TikTok.
What does this mean for cross-border sellers?
The removal of this compliance risk allows brands to invest in TikTok advertising with greater confidence and supports increased budgets and long-term operations on the platform. Highest priority: consider increasing TikTok ad spending and use the new rules to expand brand exposure.