TikTok is facing mounting pressure on both sides of the Atlantic. European regulators are reportedly preparing a €500 million (A$830 million) fine over data privacy breaches, just as a looming US ban threatens to cut off the platform’s biggest market.
As first reported by Bloomberg, Ireland’s Data Protection Commission is expected to hand down the fine before the end of April after a four-year investigation into TikTok’s transfer of EU user data to China, a violation of Europe’s General Data Protection Regulation (GDPR) laws.
Ireland is leading the enforcement because TikTok owner ByteDance has its European headquarters in Dublin. Under GDPR rules, the nation where a company is based is responsible for oversight.
The probe began back in 2021, when then-Data Protection Commissioner Helen Dixon said there were concerns that “maintenance and AI engineers in China may be accessing data,” despite TikTok’s public claims that EU data was stored in the US.
The potential fine, which could be among the largest ever issued under GDPR, adds further complexity to ByteDance’s global operations, and lands just as the company faces a potentially devastating ban in the United States.
Amazon enters last-minute bid for TikTok US
As the 5 April deadline set by the Biden administration fast approaches, TikTok is under pressure to divest its US operations or face a nationwide ban, citing national security concerns around Chinese data access.
According to 9News Australia, Amazon has reportedly submitted a last-minute offer to acquire TikTok’s US business, positioning itself as a possible saviour of the platform in America’s growing tech-censorship battleground.
The US government has warned that ByteDance’s ownership of TikTok poses risks to user privacy and national security, arguing that sensitive user data could be accessed by the Chinese government, an allegation ByteDance has consistently denied.
While BBC and The Guardian have previously reported on similar EU investigations into TikTok’s data practices, this new round of enforcement highlights the growing concerns with how social platforms handle user data across borders.
What’s next for TikTok?
The coming weeks could define TikTok’s future in two of the world’s biggest digital markets. In the US, ByteDance has limited time to negotiate a sale, restructure, or challenge the law in court, though a delay or extension isn’t off the table.
In Europe, the approaching Irish fine may set a precedent for stricter enforcement against Chinese tech firms operating within the EU. For TikTok’s millions of users, and the advertisers who rely on the platform, the stakes have never been higher.