The majority American-owned entity formed to acquire the TikTok from its parent company, ByteDance, is ramping up its lobbying efforts in Washington.
TikTok USDS Joint Venture LLC has spent over $2.5 million on lobbying this year, including $1.2 million this quarter alone, according to new federal lobbying disclosures covering the beginning of July through the end of September.
This quarter is the first time ByteDance was outspent by its replacement, which was created in January after U.S. lawmakers forced the company to divest TikTok in order to avoid a ban. ByteDance, which still owns TikTok globally and has a 19.9% minority stake in the U.S. majority ownership entity, was under intense scrutiny from Congress over privacy given its ties to the Chinese government.
Moving to a majority American-owned entity resolved some of TikTok’s regulatory problems with the U.S. government. But the app is still under pressure from Congress over its ownership and algorithm. Sens. Marsha Blackburn (R-Tennessee) and Richard Blumenthal (D-Connecticut) have raised concerns about young people’s safety and the app’s algorithm, and Sen. Ed Markey (D-Massachusetts) has scrutinized the new ownership.
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TikTok USDS Joint Venture LLC has hired two heavy hitters to lobby for the joint venture: GuidePost Strategies and Squire Patton Boggs.
Former Rep. John Kingston and David Schnittger, who served as deputy chief of staff for former House Speaker John Boehner, are on the Squire Patton Boggs contract.
Dentons US LLP and Crossroad Strategies LLC were tapped by the venture again this quarter to lobby the Senate and House on internet technology issues including data protection, algorithm security, online safety and the economic impact of TikTok.
The two firms, also employed by ByteDance, earned a combined $310,000 from both companies.
ByteDance spent nearly $9 million last year on lobbying efforts but has only spent $3,620,000 so far this year, nearly half what it reported by this time last year. From July to September, ByteDance reported spending $910,000 on lobbying, a steep drop from the year’s previous quarters.
Only K&L Gates reported ByteDance as a client this quarter, and the firm received $70,000 to monitor the National Defense Authorization Act for fiscal year 2026.
The company spent $10.3 million in 2024 as every branch of government upheld an order for TikTok to be sold or banned over national security and Chinese government influence concerns.
ByteDance’s downsizing follows the completion of the forced sale in January.
TikTok USDS Joint Venture LLC is made up of multiple companies, including Oracle, the technology giant executive chaired by Larry Ellison, and the investment firms Silver Lake and MGX.
TikTok Inc. spent the least on lobbying, spreading $325,000 across four firms. Two of those firms were paid an identical amount by the joint venture, and the other two firms received $160,000 combined.
Akin Gump Strauss Hauer & Feld, one of the firms hired by TikTok Inc., said ByteDance is the ultimate owner of TikTok Inc. in its third-quarter filing.
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