European Union regulators on Monday threatened to high quality TikTok for probably addictive options in a model of its app referred to as TikTok Lite, which was launched to work higher on slower wi-fi networks.
The EU investigation provides to TikTok’s regulatory challenges because the US Senate prepares to vote on a invoice that might order the app’s proprietor, Chinese language web firm ByteDance, to promote TikTok or be banned. The corporate is beneath rising strain over its ties to China, its information assortment practices and its probably dangerous results on kids.
In Europe, authorities stated TikTok didn’t conduct a legally required threat evaluation earlier than introducing new options that enable customers to earn rewards equivalent to present playing cards for watching movies, liking content material and following sure creators. They stated the options created a monetary incentive to spend extra time on the app, creating dangers of habit and psychological well being issues, significantly for youngsters.
The motion introduced Monday is the second EU investigation towards TikTok, together with one other investigation targeted on the shortage of efficient age verification protections and addictive design options.
In the USA, lawmakers final week handed laws geared toward forcing ByteDance to promote the social media app. The Senate is anticipated to vote this week on the invoice, which comes bundled with a bundle of aid payments. The White Home and members of Congress have expressed concern that TikTok poses a nationwide safety threat as a result of the Chinese language authorities might use the app to realize entry to Individuals’ information or run a disinformation marketing campaign.
TikTok didn’t instantly reply to a request for remark.
TikTok Lite is greatest identified in international locations like India, Brazil, and Indonesia, however was extra lately launched in Spain and France. The app makes use of much less reminiscence to run on telephones designed for low-speed wi-fi networks.
Underneath the Digital Companies Act, an EU regulation handed in 2022 to manage social media platforms, massive firms like TikTok should submit threat assessments earlier than making main adjustments to their services or products. Authorities stated TikTok didn’t submit the required data earlier than introducing the reward options, even after regulators submitted a request final week.
TikTok has till April 23 to submit a threat evaluation report back to the European Fee, the manager department of the 27-nation bloc, and till Could 3 to offer the remainder of the requested data. In any other case, regulators stated they might impose fines of as much as 1 p.c of its annual income, in addition to further “periodic penalties” of as much as 5 p.c of TikTok’s common each day income.
