EU watchdogs slapped TikTok with a precision strike on Thursday, warning that the Chinese-owned app was in breach of the budget transparency rules laid down in the Digital Services Act.
The snap means the firm could face a heavy pecuniary painstick swipe.
According to the from the Commish, TikTok had failed the transparency thresholds laid down in EU law, which are to give every voter a publicly accessible ad library. This has been seen by the EU as a vital tool for uncovering fraudulent ads, hybrid threats, coordinated disinformation campaigns, misleading political content and more – all the more so during election seasons.
TikTok isn’t said to be disclosing enough information about the ads running on its platform, such as who pays for them, the users they are targeting and what content is being promoted.
Already the Commission has alerted TikTok to its initial findings. If it fails to rebut the charges then it risks being charged fines of up to 6% of its worldwide annual turnover. It’s always possible they will run a daily fine instead.
“Transparency in online advertising – who is paying and how audiences are targeted – is essential,” said Henna Virkkunen, European VP of sovereignty, security and democracy. “It’s fundamental to protecting public interests. Whether it’s protecting the integrity of our elections, our public health, or consumers from scams, we can all profit if we get the truth behind who is arguing what by ad.”
