TikTok US seeks multi-gigawatt computing capacity as AI workloads surge

The social media platform's US entity is targeting four gigawatts of compute power by the early 2030s, according to sources, amid a global race for digital infrastructure.

By LineZotpaper

Published23 October 2026

Read Time2 min

TikTok USDS Joint Venture, the US entity operating TikTok, is seeking to secure multiple gigawatts of computing capacity over the coming years, with one source putting the target at four gigawatts by the early 2030s. The move reflects a broader scramble among technology companies to secure infrastructure for artificial intelligence workloads.

Sources familiar with the discussions told CNBC that TikTok's US arm has been sounding out opportunities for large-scale compute capacity. The company, officially TikTok USDS Joint Venture, was established in 2026 following President Donald Trump's executive order requiring the divestiture of TikTok from its Chinese parent ByteDance.

The company's primary cloud infrastructure provider is Oracle Cloud Infrastructure (OCI), and a company spokesperson confirmed that Oracle "will continue to be our primary cloud infrastructure provider." Oracle typically runs its cloud facilities in leased data centers. CNBC has also approached Oracle for comment.

TikTok US is also actively hiring for machine learning roles, with a job advertisement stating the company is "shipping a flagship B2B AI product at the frontier of large-model inference and creative automation."

In January, TikTok US said it would retrain, test and update its recommendation algorithm on US user data, with the algorithm secured in Oracle's US cloud environment. The entity is backed by three managing investors: Silver Lake, Oracle and MGX, each holding 15%. The Dell Family Office is also an investor, while ByteDance retains 19.9% of the new joint venture.

Analysis

Why This Matters

The search for massive compute capacity signals TikTok US's ambitions in AI, potentially intensifying competition with other social platforms and AI companies.
The demand for gigawatt-scale data centers could strain supply chains and energy grids, especially as AI workloads become more power-hungry.
The move is part of a broader industry trend where companies are securing long-term computing infrastructure to support AI product development.

Background

TikTok's US operations were subject to a forced sale from ByteDance under the Trump administration, culminating in the creation of a US-based joint venture in 2026. The company has since worked to localize its algorithms and infrastructure, moving key operations to Oracle's cloud. The search for additional compute capacity suggests TikTok US is planning new AI-powered products beyond its core social media platform.

Key Perspectives

TikTok US: Seeking to secure computing infrastructure to support future AI products, including a flagship B2B AI offering. The company emphasizes its reliance on Oracle as primary cloud partner. Oracle: Likely to benefit from TikTok's expansion, though it must scale its own infrastructure to meet the demand. Oracle has not commented on the reports. Competitors and cloud providers: The race for compute capacity is global; other tech giants are also securing gigawatt-scale deals. Providers like AWS, Microsoft Azure and Google Cloud may compete for similar contracts.

What to Watch

Whether Oracle can expand capacity to meet TikTok's four-gigawatt target, or if TikTok US will diversify its cloud providers.
The timeline for TikTok's B2B AI product launch and how it affects compute needs.
Regulatory scrutiny around data localization and foreign ownership of critical infrastructure.

Sources

TikTok U.S. hunts for multiple gigawatts of computing capacity, sources tell CNBC · US Top News and Analysis

Checked

11 claims in this story checked against 1 source: 7 supported.

Show each claim

SupportedTikTok US is seeking multiple gigawatts of computing capacity.US Top News and Analysis: “TikTok's U.S. entity is looking to secure multiple gigawatts of computing capacity, sources told CNBC”
Partly supportedAI workloads are surging.US Top News and Analysis: “Companies across the world are looking to secure more compute capacity as artificial intelligence workloads become more prominent.”
Partly supportedTikTok US is targeting four gigawatts by the early 2030s, according to sources.US Top News and Analysis: “TikTok U.S. is looking for four gigawatts of compute power by the early 2030s, one source said.”
Not in the sourcesTikTok US’s move reflects a broader scramble for infrastructure for AI workloads.US Top News and Analysis: “Companies across the world are looking to secure more compute capacity as artificial intelligence workloads become more prominent.”
SupportedTwo sources familiar with the discussions told CNBC TikTok US had sounded out opportunities for large-scale compute capacity.US Top News and Analysis: “The company, officially TikTok USDS Joint Venture, operates the social media platform in the U.S. and has sounded out opportunities to obtain capacity over the coming years, two people familiar with the discussions”
SupportedA company spokesperson said Oracle “will continue to be our primary cloud infrastructure provider.”US Top News and Analysis: “A company spokesperson told CNBC that the company "runs primarily on Oracle Cloud Infrastructure in the U.S. and Oracle will continue to be our primary cloud infrastructure provider."”
Partly supportedOracle typically runs its cloud facilities in leased data centers.US Top News and Analysis: “Oracle Cloud Infrastructure, or OCI, typically runs in facilities that Oracle leases.”
SupportedTikTok US is actively hiring for machine-learning roles.US Top News and Analysis: “The company has numerous machine learning roles live on its website.”
SupportedA TikTok job advertisement says it is “shipping a flagship B2B AI product at the frontier of large-model inference and creative automation.”US Top News and Analysis: “A job advert posted by TikTok states that the company is "shipping a flagship B2B AI product at the frontier of large-model inference and creative automation."”
SupportedIn January, TikTok US said it would retrain, test and update its recommendation algorithm on US user data, with the algorithm secured in Oracle’s US cloud environment.US Top News and Analysis: “In January, TikTok U.S. said it would "retrain, test, and update" its prized recommendation algorithm, which is built on machine learning, on U.S. user data. The company's recommendation algorithm will be "secured in Oracle's U.S. cloud environment," it said.”
SupportedSilver Lake, Oracle and MGX each hold 15%; the Dell Family Office is also an investor, and ByteDance retained 19.9%.US Top News and Analysis: “TikTok U.S. has three managing investors, Silver Lake, Oracle and MGX, each holding 15%. The Dell Family Office, the investment firm of Michael Dell, is also an investor. ByteDance retained 19.9% of the new entity.”