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TikTok's ad repository isn't up to the standards required by the
bloc's Digital Services Act, known as the DSA, the 27-nation
EU’s executive Commission said in preliminary findings from its
investigation.
The Commission said ad databases are vital for researchers to
detect scam ads as well as so-called hybrid threat campaigns,
coordinated information operations and fake ads, "including in
the context of elections."
The DSA is a wide-ranging rulebook that aims to clean up social
media platforms and protect users from risks including
election-related disinformation. Platforms have to be
transparent about digital ads, including informing users why
they’re being shown a specific advertisement and who paid for
it.
The Commission said TikTok doesn’t provide necessary information
about the content of ads, the users targeted, and who pays for
them. The database doesn’t allow for a comprehensive search for
ads based on this information, “thereby limiting the usefulness
of the tool,” it said.
TikTok said it's reviewing the Commission’s findings and remains
committed to meeting its DSA obligations.
“While we support the goals of the regulation and continue to
improve our ad transparency tools, we disagree with some of the
Commission’s interpretations and note that guidance is being
delivered via preliminary findings rather than clear, public
guidelines," the company said in a statement.
The ad database's shortcomings prevent a “full inspection” of
the risks posed by its ad targeting systems, said Henna
Virkkunen, the commission's executive vice-president for tech
sovereignty, security and democracy.
“Transparency in online advertising — who pays and how audiences
are targeted — is essential to safeguarding the public
interest," Virkkunen said. “Whether we are defending the
integrity of our democratic elections, protecting public health,
or protecting consumers from scam ads, citizens have a right to
know who is behind the messages they see.”
TikTok now has a chance to reply before the Commission issues
its final decision, which could result in a fine of up to 6% of
the company’s annual global revenue.
TikTok is being scrutinized in a separate EU investigation into
whether it failed to deal with risks to Romania’s presidential
election, which was thrown into turmoil last year over
allegations of electoral violations and Russian meddling.
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