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EU Finds TikTok in Breach of Digital Ad Transparency Rules

The European Commission's preliminary findings mark TikTok's first formal violation under the Digital Services Act, with potential fines of up to 6% of global revenue.

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Overview

  • The European Commission has preliminarily concluded that TikTok failed to meet transparency requirements for advertisements under the Digital Services Act (DSA).
  • TikTok is accused of not providing sufficient details about ad content, targeted users, and advertisers, as well as not allowing public access to its ad repository.
  • This is the first formal finding of a DSA breach against TikTok, which now has the opportunity to respond before potential fines are imposed.
  • The DSA mandates large platforms to maintain ad libraries and ensure transparency to help detect risks such as scams and disinformation campaigns.
  • Broader EU investigations into TikTok's addictive features, child safety measures, and election interference remain ongoing.