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EU closes TikTok Lite case after it removes rewards mechanism.
The European Commission has closed a Digital Services Act (DSA) investigation into a reward feature on TikTok the Lite app. By accepting a commitment by the online social network company to permanently remove the feature from EU.
Its TikTok Simple “task as reward” mechanism. Introduced across France and Spain in the spring of this year. Allows users to earn points when they engage in activities such as watching and sharing videos. The points can be traded for Amazon vouchers. TikTok Lite is a different lower-bandwidth version to TikTok’s application that is available in a few markets.
TikTok is also committing not to attempt and evade its obligation for example. By using the same feature but under a different title or using a different version as a replacement. The settlement is only applicable to the TikTok Lite reward system that the EU was looking into however. It’s not a total restriction on TikTok in the future launching rewards features in the near future.
When the EU launched a review of the reward mechanism at the beginning of April in April. The Commission stated that it was concerned about the way the mechanism was designed could have a negative impact on psychological health and well-being of youngsters through “stimulating addiction.”
TikTok
TikTok has temporarily halted the rewards system in the EU shortly after the Commission began its investigation. The EU threatened to make use of interim powers to stop the feature while it analyzed the possibility that it encouraged users to spend a lot of time using the application.
In a briefing to journalists about the background an official from the Commission official claimed that the enforcer was satisfied with the result since it has produced a swift outcome that allows EU citizens and minors to be secured.
The agreement does mean that the EC isn’t yet formally determining TikTok as being in violation of the DSA which means there’s no punishment. If TikTok does not adhere to its promises and obligations. The Commission stressed that the company can be sanctioned right away under the DSA which permits penalties of at least 6% its global annual revenue without the need for new investigation. TikTok therefore has an enormous incentive to comply with regulations.
EU closes TikTok Lite case after it removes rewards mechanism
Commission
The Commission announced that it will monitor whether TikTok fulfills its obligations by applying existing procedures and DSA powers, with help from state authorities who ensure compliance with general rules.
In the form of a statement, Thierry Breton, the EU’s internal market regulator. Declared: “The available brain time of a generation of Europeans isn’t a currency for social media and never will ever be. We have secured the permanent revocation of TikTok Lite Rewards program which could have led to addictive effects. The Democratic Socialists of America is currently active.
TikTok spokesperson Elliot Burton sent TechCrunch this statement about their settlement: “TikTok works tirelessly to maintain constructive partnerships with regulators such as the European Commission. TikTok is thrilled that we have come to an amicable agreement and since removing its TikTok Lite rewards program launched April 1 in France and Spain.” This was an initiative that we have already suspended involuntarily.”
TikTok DSA
While the TikTok DSA case is now completed. A second larger, more extensive investigation that was revealed in February is going on.
This case is a concern for the primary TikTok algorithm of the app, in addition to other aspects. The Commission has stated that it is concerned the algorithm’s tracking-based recommendation engine could result in “rabbit hole effects” in which users who see an individual video on a particular topic could be redirected to more extreme videos. Which could cause an improve in negative content for example, videos that promote eating disorders.
The EU is also concerned that TikTok isn’t together strong suitable measures to assure the age of its users are protected youngsters from accessing harmful material. TikTok’s compliance to DSA requirements for transparency is being examined.
For more information on what this DSA and its companion regulation that is called the Digital Markets Act (DMA) affect Big Tech platform.
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Q&A
What action did TikTok take to resolve the EU case?
TikTok removed the rewards mechanism from TikTok Lite.
Why did the EU close the case against TikTok Lite?
The case was closed because TikTok committed to not reinstating the addictive rewards mechanism.
What was the issue with TikTok Lite’s rewards mechanism?
It was considered to promote addictive behavior.
