TikTok’s Legal Battle with the EU Faces Another Setback
TikTok, known as the overseas version of Douyin, is once again facing setbacks in its legal battle with the European Union. On Thursday, October 15th, the legal advisor of the EU Court of Justice recommended dismissing the appeal from TikTok’s parent company, ByteDance, and supporting the EU’s decision to impose stricter regulations on TikTok. However, the court has not yet made a final ruling.
According to reports from Reuters, the core of this lawsuit revolves around whether TikTok should be classified as a “gatekeeper” under the EU’s Digital Markets Act (DMA).
The term “gatekeeper” refers to large tech platforms with a large user base that control important channels for businesses to reach consumers. The EU believes that such platforms have significant market influence and must comply with special competition rules to prevent them from using their dominance to exclude competitors.
Companies classified as “gatekeepers” must adhere to a series of regulations, including not giving their own products or services more favorable treatment compared to competitors by leveraging platform dominance, and not using market position to restrict competition. Companies found in violation of these rules could face fines of up to 10% of their global annual turnover.
In 2023, the EU Commission classified ByteDance as a “gatekeeper” and designated TikTok as a core platform service under supervision.
ByteDance objected to this decision, asserting that TikTok faces fierce competition from other social platforms and users are free to choose different platforms, hence TikTok should not be classified as a “gatekeeper” requiring special supervision.
ByteDance subsequently challenged the decision in court, but the EU General Court dismissed their lawsuit in 2024. The company then appealed to the EU’s highest judicial authority, the EU Court of Justice.
On Thursday, the EU Court of Justice’s legal advisor, Andrea Biondi, presented a legal opinion stating that the General Court’s previous judgment did not contain any legal errors. He argued that even if users simultaneously use other social platforms, this does not negate TikTok’s status as an important channel for businesses to reach consumers. Therefore, he recommended that the court reject ByteDance’s appeal. The final judgment from the court is expected to be announced in the coming months.
Currently, other companies recognized by the EU as “gatekeepers” include Alphabet, the parent company of Google, Apple, Meta, Amazon, Microsoft, and Booking.com.