It seems that the Chinese-origin short video app called TikTok is not only having problems in the United States. In Europe, the regulatory bodies that oversee social media activities have put the TikTok Lite app under scrutiny.
The European Union has opened today a second formal investigation into TikTok, as it suspects that the platform has violated the Digital Services Act due to the launch of TikTok Lite in France and Spain, while also intending to suspend the application’s rewards program in the EU.
These measures could even lead to the total suspension of the application and this is not the first region to consider it.
What does the EU want to investigate about this new TikTok?
TikTok Lite is a version of TikTok designed for “users who have less than 2GB of RAM, limited data, or connect to 2G or 3G networks”. It also includes a Tasks and Rewards Program, which allows users to earn in-app money by completing certain “tasks” on the platform.
These points, which can be obtained by watching videos, liking content, following creators, inviting friends, etc., can then be used to support other creators on the platform.
The EU states that this has been implemented in France and Spain “without a prior diligent assessment of the risks involved, particularly those related to the addictive effect of the platforms, and without adopting effective risk mitigation measures”. In particular, the EU is concerned about the lack of effective age verification mechanisms on the platform, which is already being investigated.
They face a fine of 1% of their annual income
The key deadlines for this TikTok investigation are to submit the risk assessment report to the Commission before April 23, and provide the remaining required information before May 3.
If TikTok does not respond to the information request, it may be fined up to 1% of its total annual revenue or global turnover and periodic penalties of up to 5% of the average daily revenue or annual global turnover.
The Commission also plans to suspend the rewards program as part of the precautionary measures until the security of the program is evaluated. TikTok has until April 24 to submit allegations in its defense.
