TikTok has agreed to permanently stop its Lite Rewards program across the EU, following the European Commission’s concerns about potential risks to minors. This decision aligns with the new Digital Services Act and marks a significant regulatory win.
On August 9, 2024, TikTok agreed to permanently discontinue its TikTok Lite Rewards program in the EU. This came after the European Commission raised concerns about the program's potential to encourage addictive behavior, especially among minors. The Commission's decision, made binding under the Digital Services Act (DSA), was first brought to light on April 22, 2024, when formal proceedings were initiated against TikTok.
The commitments by TikTok include a permanent stop to the TikTok Lite Rewards program in the EU and an assurance not to introduce similar programs that could bypass these new regulations. These commitments have been made legally binding, meaning any violations will result in fines under the DSA. The program allowed users to earn rewards by watching videos, liking content, and following creators, but concerns arose regarding its impact on user behavior, particularly among younger audiences.
This marks the first instance where the European Commission has closed a case under the DSA, 105 days after it began. The DSA mandates that large online platforms must carry out risk assessments and submit reports before introducing new features that could pose systemic risks. TikTok's failure to submit a risk assessment for TikTok Lite led to this significant regulatory intervention.
The Commission is currently monitoring TikTok's compliance with these commitments. Meanwhile, TikTok still faces an ongoing investigation, initiated on February 19, 2024, concerning broader DSA compliance. Similar formal proceedings are underway against other major platforms like X, AliExpress, and Meta, showing the EU's rigorous enforcement of the DSA.
Is TikTok's compliance enough to protect young users?
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