By Erin Doherty

Copyright cnbc

The U.S. will also control the app’s algorithm, according to White House press secretary Karoline Leavitt, addressing a major sticking point in negotiations.

Leavitt also said that data and privacy for the app in the U.S. will be led by Oracle.

Trump and Xi had a call on Friday about the possible TikTok deal. Trump afterward said that the deal “is well on its way, as you know, and the investors are getting ready.”

But China, in its own statement, suggested that the two sides are further apart on negotiations.

“China’s position on the TikTok issue is clear: the Chinese government respects the will of companies and is pleased to see companies conduct business negotiations on the basis of market rules and reach solutions that comply with Chinese laws and regulations and balance interests,” a translated readout from Chinese state-run news agency Xinhua read.

“We hope the U.S. side will provide an open, fair, and non-discriminatory business environment for Chinese companies investing in the United States,” the statement read.

CNBC has reached out to Fox News, the White House and TikTok for comment.

This is developing news. Please check back for updates.