The European Commission issued a “final warning” to TikTok on Monday (April 22), stating that if TikTok (international version of Douyin) fails to submit an assessment report on the impact of TikTok Lite on user mental health by the deadline, it will face legal action. The “reward program” for TikTok Lite will also be suspended.
The EU stated that TikTok has 24 hours to provide a risk assessment report on TikTok Lite, or face fines of up to 1% of annual revenue or global turnover, or daily fines of up to 5% of average revenue.
TikTok is also required to provide additional information by May 3, including measures it will take to protect minors and user mental health.
In a statement, EU regulatory agencies said that the European Commission has informed TikTok of its intention to take interim measures, including suspending the “reward program” for TikTok Lite until its security is fully assessed. TikTok has been given a 48-hour window to present its defense.
On April 11, TikTok announced the launch of a new service called TikTok Lite in France and Spain. This lightweight version of TikTok includes a new feature called “Task and Reward Lite” aimed at users aged 18 and above. It allows users to earn points by completing tasks on the platform, such as watching videos, liking content, following creators, or inviting friends to join TikTok. These points can be exchanged for rewards such as Amazon vouchers, PayPal gift cards, or TikTok coins, which can be used to tip creators.
The European Commission expressed concerns that the “reward program” in TikTok Lite could lead to addiction among users.
The EU initiated a new investigation on Monday into whether TikTok is violating EU regulations. The EU stated that the company launched the TikTok Lite application in France and Spain without providing a comprehensive risk assessment.
“We suspect that the features of TikTok Lite can be addictive and harmful, especially for children,” said Thierry Breton, EU’s Internal Market Commissioner, on the social media platform X. “Unless TikTok provides convincing safety evidence (which it has not done so far), we are ready to launch interim measures under the Digital Services Act, including suspending the ‘reward program’ in TikTok Lite.”
Breton had already launched an investigation into TikTok’s potential violations two months ago.
He further stated on X platform, “Is this social media ‘lite version’ as addictive and harmful as ‘light versions’ of tobacco? We have just issued a request to TikTok Lite to provide information; we will spare no effort to protect minors according to the DSA legislation.”
Recent years have seen a growing concern in European and American countries about the security risks posed by TikTok. The U.S. House of Representatives voted on April 20 (last Saturday) to pass a comprehensive legislation worth $95 billion, which includes provisions for the separation or banning of TikTok.
The legislation would require TikTok’s Chinese parent company, ByteDance, to separate from TikTok, or else the application would be banned in the United States.
(This article is based on reports from Reuters and Bloomberg.)