TikTok, the popular video-sharing social media platform, has been hit with a hefty fine of €345 million ($368 million) by the European Union (EU) for alleged violations related to the handling of children's personal data. The Irish Data Protection Commission, which oversees TikTok's operations in the EU, found the company guilty of failing to adequately protect minors and lacking transparency in its data processing practices. The commission has given TikTok a three-month deadline to rectify these issues and bring its data processing procedures in line with the EU's stringent General Data Protection Regulation (GDPR).
The investigation focused on TikTok's data processing activities during a five-month period, from July 2020 to December 2020, specifically concerning the privacy of children aged between 13 and 17. The Irish Data Protection Commission determined that TikTok's practices during this period violated GDPR rules designed to safeguard children's data.
Anu Talus, the head of the European Data Protection Board, emphasized that social media companies have a responsibility to ensure fair treatment of users, particularly children, in terms of privacy and data protection. She expressed concerns that platforms like TikTok should refrain from influencing individuals, especially minors, to make decisions that compromise their privacy interests.
This substantial fine for TikTok follows heightened scrutiny regarding the company's handling of child safety and privacy. TikTok, owned by China's ByteDance Ltd., is known for its viral dance challenges and boasts over 1 billion users worldwide. In addition to the EU, TikTok has faced potential bans in several countries. Earlier this month, the platform was added to a list of tech firms required to comply with new digital market rules within the EU.
In response to the fine, TikTok issued a statement expressing disagreement with the decision and the severity of the imposed penalty. The company asserts that the Irish regulator's criticisms are primarily related to features and settings that were already changed three years ago, including setting all accounts for users under 16 to private by default.
Aside from EU scrutiny, TikTok has faced challenges in the United States as lawmakers propose bills that could potentially block the app. To address these concerns, TikTok has made efforts to segregate data on local servers and involve domestic partners in managing data access controls.
The Irish Data Protection Commission serves as the regulator for numerous major technology companies. This year, it launched two investigations into TikTok, expressing concerns about insufficient protection of young users' data and investigating the potential risks of unauthorized access by maintenance and AI engineers based in China. Notably, the commission also fined Meta Platforms Inc.'s Instagram €405 million last year for mishandling children's personal data.