The European Commission has announced that TikTok's advertising repository violates the EU's Digital Services Act (DSA) following an investigation that began in February 2024. The DSA mandates large online platforms to maintain an ad repository for public transparency regarding advertisement content, targeting, and funding sources. Findings indicated TikTok's repository fails to sufficiently meet these requirements, limiting its usefulness. As a consequence, TikTok faces potential fines of up to 6% of its total global revenue. The company has expressed disagreement with some of the findings while continuing to revise their advertising transparency measures.
Under the DSA, very large online platforms need to have such an advertising repository in place for researchers and civil society to detect scam advertisements and hybrid threat campaigns.
TikTok does not provide the necessary information about the content of advertisements, the users targeted by the ads, and who paid for the advertisements.
The Commission's preliminary views could lead to a fine of up to 6% of TikTok's total worldwide annual turnover, which indicates serious regulatory implications.
A TikTok spokesperson noted that the company supports regulatory goals but disagrees with the Commission's interpretations, indicating a potential path for legal argument.
#tiktok #eu-digital-services-act #advertisement-transparency #online-platforms #regulatory-compliance
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