CALIFORNIA — FTC Investigating TikTok Over Data and Security Practices
The Federal Trade Commission (FTC) is currently conducting an investigation into TikTok’s data and security practices, as revealed by two undisclosed sources to CNN.
The probe adds yet another layer of complexity to the social media platform, which is already under the looming threat of a potential US ban or being forced to divest from its Chinese parent company.
According to the sources, the FTC is looking into TikTok for potentially violating the Children’s Online Privacy Protection rule, which mandates companies to inform parents and obtain consent before collecting data from children under 13.
Furthermore, the agency is examining whether TikTok breached a section of the FTC Act that prohibits “unfair or deceptive” business practices by denying access to TikTok user data by individuals in China.
One of the sources indicated that the FTC could take legal action against TikTok or reach a settlement with the company in the near future. The initial report of the probe was made by Politico.
When reached for comment about the investigation, FTC Director of Public Affairs Douglas Farrar declined to provide any information. TikTok has not responded to requests for comment.
The FTC investigation comes at a critical time for TikTok in the US, as lawmakers consider measures that could potentially force the sale of the platform by ByteDance or result in a ban from US app stores.
While the bill is currently under review in the Senate, President Joe Biden has expressed willingness to sign it if it passes. However, Senate leaders are taking a cautious approach, which could lead to delays or ultimately derail the House bill.
Despite denying any national security threat to US citizens, TikTok, owned by Chinese company ByteDance, has faced scrutiny over potential risks associated with Chinese laws that could compromise US user data.
In response, TikTok has made efforts to store US user data on Oracle-controlled cloud servers and implemented internal policies to restrict access to non-US employees.
In 2022, TikTok admitted to Congress that Chinese-based employees could access US user data, following reports by BuzzFeed News that ByteDance staff had accessed such information on multiple occasions.
TikTok CEO Shou Chew also acknowledged that certain ByteDance employees were terminated for monitoring US journalists in an attempt to identify internal leakers. — CNN
