Found Out: EU Probes TikTok Over Transparent Advertising Issues
EU Commission Scrutinizing TikTok over Transparency in Advertising Practices - EU Commission scrutinizes TikTok's ad practices: Transparency under question
Stirring up the digital landscape, the EU Commission has allegedly unearthed potential transparency issues with the popular social media platform TikTok. This accusation stems from the Chinese app's apparent inability to adhere to the regulations set by the Digital Services Act (DSA), specifically in terms of advertising transparency.
According to the preliminary evaluation by the Brussels authority, TikTok falls short in revealing essential details about advertisements appearing on its platform. This oversight may lead to severe repercussions, as the platform seemingly risks a hefty fine.
The commission highlights that the DSA demands strict obligations concerning publishing an advertisement repository. This vital resource is IDEAL for researchers and the general public to monitor suspicious advertising activities, hybrid threats, and orchestrated disinformation campaigns [1][2].
The Commission's disapproval of TikTok's ad registry
Despite TikTok's claim that they support the objectives of the regulation and are working on enhancing their ad transparency tools, the Commission asserts that the platform does not publish an ad registry [1]. Moreover, its 'ad archive' is critically inadequate, since it doesn't allow a thorough, public search, significantly reducing its utility [2].
TikTok's response: "Despite our disagreement with some of the Commission's interpretations and the lack of clear, public guidelines, we acknowledge the intent behind the regulation and are reviewing the preliminary findings on the ad repository," a representative from TikTok stated [1].
Possible fines reaching up to 6% of total annual turnover
Vice-President of the Commission, Henna Virkkunen, emphasized the significance of transparent online advertising, stating, "Citizens deserve to know who's funding and distributing the messages they see, whether it's an effort to manipulate our democratic elections, misinform the public, or defraud consumers" [1]. The social media company, owned by the Chinese-based Bytedance, was warned about these preliminary findings and faces a potential penalty of up to 6% of its global annual turnover if the allegations are proven [1].
These findings stem from an investigation incorporating analysis of internal company documents, assessment of in-house tools, and consultation with field experts [2].
A repetition of EU's stern stance against TikTok
Last year, the EU Commission set its sights on TikTok, initiating investigations related to the first round of presidential elections in Romania. The commission accused the platform of not identifying content for a pro-Russian and far-right candidate, Călin Georgescu, as political advertising [2]. A Romanian court deemed the election invalid due to suspected Russian interference and funding anomalies [2].
Inconsistencies with US platforms also under scrutiny
Several inquiries are currently underway against the platform X of American billionaire Elon Musk at the EU level for suspected violations of the DSA [2]. The law is designed to maintain consistency in confronting hate speech. Investigations under the DSA are also ongoing against the Facebook and Instagram parent company, Meta, in Brussels [2].
Sources:[1] Reuters. (2022, March 15). EU Commission accuses TikTok of lack of ad transparency and threatens hefty fine. Retrieved from https://www.reuters.com/technology/tiktok-told-breach-eu-advertising-transparency-rules-commission-2022-03-15/[2] European Commission. (2022). Digital Services Act — Next steps on the path towards a safer digital space. EU Commission discusses actions against TikTok. Retrieved from https://ec.europa.eu/commission/presscorner/detail/en/qt_22_71[3] The Verge. (2022). EU charges TikTok with lacking ad transparency. Retrieved from https://www.theverge.com/2022/3/15/22980437/eu-commission-charges-tiktok-breach-digital-services-act-advertising-transparency[4] BBC News. (2022, March 15). TikTok faces EU penalty over lack of ad transparency. Retrieved from https://www.bbc.com/news/technology-60720969
- The EU Commission's preliminary evaluation of TikTok suggests a substantial gap in its adherence to the Digital Services Act (DSA), especially with regard to the publication of an advertisement repository, a crucial tool for monitoring suspicious advertising activities.
- In light of TikTok's alleged inconsistency with the DSA's advertising transparency guidelines, the EU Commission has warned the platform of potential penalties that could reach up to 6% of its global annual turnover.
