TikTok's Advertising Transparency Issues: EU Commission's Concerns
TikTok Violates Advertising Regulations, According to European Commission
The social media sensation TikTok finds itself in hot water with the European Commission over transparency and ad repository issues, as alleged in a preliminary assessment.
The Nitty-Gritty
- Obscure Advertising: The EU Commission claims that TikTok doesn't disclose enough about the content, the personas targeted by, and the payers of its ads, making it tough for the public to perform meaningful searches based on that information[1][3].
- Inadequate Ad Archive: TikTok's ad archive doesn't measure up to EU standards, as outlined in the Digital Services Act (DSA), since it doesn't enable researchers and civil society to identify fraudulent ads, hybrid threats, and disinformation campaigns[1][3].
Potential Sanctions
- Fines and Monitoring: If confirmed, TikTok could be hit with fines totaling up to 6% of its global annual revenue, along with increased supervision to ensure DSA compliance[1][3].
- TikTok's Reply: TikTok says it's reviewing the Commission's preliminary findings, stressing its commitment to meeting DSA requirements. However, the company disagrees with certain interpretations and argues that guidance is being delivered via preliminary findings rather than clear-cut public guidelines[1][3].
Opportunities Ahead
- Rejoinder Period: TikTok has a chance to respond to the accusations in writing before the Commission decides on fines[4].
- Agreement Prospects: The Commission and TikTok may arrive at a compliance agreement to dodge penalties.
Context
- TikTok
- EU Commission
- Advertising Transparency
- European Union
- Digital Services Act (DSA)
- Online Platforms
- Elon Musk
- Brussels
- The Commission is proposing to extend the deadline for TikTok to submit its policies and legislation regarding transparency in advertisements, particularly technology used for targeted advertising on the platform.
- In light of the TikTok advertising transparency issues, the Commission is considering implementing stricter guidelines for social-media platforms like TikTok, which may affect the entertainment sector, especially general-news and politics segments shared on the platform.
- As part of the Digital Services Act (DSA), the Commission is examining the need for technology companies like TikTok to be more transparent about their advertising practices, including the targeting of ads on social media, as it relates to policy-and-legislation and potential impacts on politics and public discourse in the European Union.