The European Union (EU) is putting pressure on ByteDance, the parent company of TikTok, to provide additional details regarding the launch of TikTok Lite in France and Spain.
Concerns have been raised about the app's "Task and Reward Program," which rewards users for watching videos and completing various tasks, potentially posing addictive risks, especially to children.
EU Initiates Formal Proceedings to TikTok Lite's Rollout
According to the EU's executive Commission, formal proceedings have been initiated under the Digital Services Act (DSA) to investigate whether TikTok Lite's rollout violated the bloc's digital regulations.
The DSA mandates very large online platforms to conduct risk assessments and submit reports before introducing new functionalities that could significantly impact systemic risks.
The Commission's primary concern is the lack of a thorough risk assessment and effective risk mitigation measures before the launch of TikTok Lite's "Task and Reward Program."
There are apprehensions about the addictive nature of the platform, particularly among minors, coupled with inadequate age verification mechanisms. These issues are already under scrutiny in the ongoing investigation against TikTok.
The investigation will focus on TikTok's compliance with DSA obligations, including assessing and mitigating risks associated with the "Task and Reward Program," particularly its potential adverse effects on mental health, especially among minors.
The Commission will also evaluate the measures implemented by TikTok to address these risks.
TikTok has been issued a formal request for information, compelling the company to provide the risk assessment report for TikTok Lite and details about the measures taken to mitigate potential systemic risks. Failure to comply with the request within specified deadlines could result in fines and penalties.
Additionally, the Commission has expressed concerns about TikTok's inability to submit the required risk assessment before launching TikTok Lite, indicating a prima facie infringement of the DSA and potential risks to users' mental health.
As a precautionary measure, the Commission intends to suspend the TikTok Lite rewards program in the EU pending a safety assessment.
TikTok Lite Under DSA Scrutiny
The initiation of formal proceedings grants the Commission authority to take enforcement measures, such as interim measures and non-compliance decisions. It also relieves national authorities of their supervisory powers over the suspected infringements.
TikTok Lite targets users aged 18 and above, offering rewards for various tasks performed on the platform. These rewards can be redeemed for Amazon vouchers, PayPal gift cards, or TikTok coins.
The DSA requires Very Large Online Platforms to conduct a comprehensive risk assessment and propose mitigation measures before launching new functionalities.
The Digital Services Act, enacted in February 2024, applies to all online intermediaries operating in the EU. ByteDance, as the parent company of TikTok, falls under the jurisdiction of the DSA due to its extensive user base in the EU.
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