TikTok's bid to stall antitrust regulations rejected by EU court
Chinese social media platform TikTok has faced a setback after the European Union (EU)'s General Court dismissed its attempt to stall the Digital Markets Act (DMA) antitrust regulations. This attempt was likely to avoid being labeled a "gatekeeper" under DMA rules. The court stated that TikTok didn't show enough urgency for such an interim measure. As a result, starting in March 2024, TikTok must follow DMA rules, even if its appeal is later approved by the EU.
Consequences of 'gatekeeper designation' for TikTok
Being a gatekeeper under DMA rules means TikTok will join tech giants like Apple, Meta, Amazon, and Google in making various changes for EU users. These modifications involve giving third-party businesses access to their services and asking for consent to show personalized advertisements. If TikTok and other gatekeeper companies don't comply with DMA regulations, they could face hefty fines of millions of euros. A TikTok spokesperson expressed disappointment over the decision but expressed eagerness to have their case heard quickly.
Separate EU probe into TikTok's content moderation rules for minors
Besides the DMA issue, TikTok is also under scrutiny by the EU for its content moderation policies concerning minors. The EU will investigate this matter under the new Digital Services Act (DSA), as there are concerns that TikTok's changes to comply with the DSA don't adequately protect young users. In 2023, TikTok launched several updates for its EU users in response to the DSA, such as no longer showing personalized ads based on platform activities to minors.
