TikTok, the popular social media platform, is set to receive a significant fine from the European Union (EU) over its handling of children's data, as per a decision by the European Data Protection Board (EDPB) on August 4, Euronews reported.
The EDPB's ruling paves the way for the Irish Data Protection Commission, acting as the EU's lead data protection authority, to levy a financial penalty on TikTok within the next month. This move comes after several other EU data protection authorities raised concerns about TikTok's data practices.
As TikTok's legal EU headquarters are based in Dublin, the Irish regulator has taken a central role in the investigations against the company. The case stems from a 2021 probe into whether TikTok violated the General Data Protection Regulation (GDPR) by inadequately safeguarding the privacy of children aged 13 to 17 during its age verification processes.
The transparency of TikTok's data processing methods for children is also under scrutiny as part of this investigation. The social media giant, owned by the Chinese company ByteDance, boasts a user base of over 150 mn in Europe alone, contributing to ByteDance's impressive $80 bn (€72.6 bn) revenues reported in 2022.
While the exact amount of the impending fine remains undisclosed, the impending penalty underscores the gravity of the situation. The decision coincides with TikTok's recent announcement of fresh measures aimed at aligning its operations with the EU's Digital Services Act (DSA), a groundbreaking legislative effort to regulate major tech platforms.
Under the DSA, platforms like TikTok are subjected to new obligations designed to enhance user protection online. This includes more rigorous content moderation and increased transparency surrounding the use of personal data. The platform has been urged to step up its readiness for the DSA, as highlighted by European Commissioner Thierry Breton earlier this year.
TikTok's encounter with EU regulators follows a similar episode in the United Kingdom, where the company was fined £12.7 mn (€14.7 mn) by the local data watchdog in April for unlawfully processing children's data, marking one of the largest penalties of its kind.
The final determination regarding the fine from the Irish Data Protection Commission is expected to be unveiled in September. As this high-profile case unfolds, it underscores the growing emphasis on safeguarding user data and ensuring corporate compliance within the evolving landscape of digital services.
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