Reports: FTC Probing TikTok Over Data, Security Practices

Facts

• The US Federal Trade Commission (FTC) is reportedly investigating the social media platform TikTok over matters related to its data and security practices.¹
• The probe, which could result in a settlement or a lawsuit, looks into whether the China-based, ByteDance-owned platform indulged in 'unfair and deceptive' business practices — a violation of federal law — by denying that US user data could be accessed by individuals in China.¹
• The FTC is also considering whether TikTok violated the Children's Online Privacy Act, which requires platforms to obtain parental consent before collecting data from children younger than 13.²
• This investigation is separate from Congress' concerns about TikTok being a threat to national security, which resulted in the US House passing a bill that would force ByteDance to sell the app to US interests or face a ban.³
• The Senate has yet to take up the bill, meanwhile, Pres. Joe Biden has said he would sign it if it reached his desk.³
• Previously, ByteDance in 2021 settled a class-action suit for $92M after claims from US TikTok users that their data privacy had been violated.⁴

Sources: ¹Associated Press, ²CNN, ³Reuters and ⁴New York Post.

Narratives

• Pro-China narrative, as provided by Global Times. In opposition to the recent tightening of ties between the US and China, some US politicians just can't quit hunting TikTok and fear-mongering over it despite the lack of evidence that the platform has been used for nefarious purposes. An FTC investigation is just another example of the US trying to get a leg up on China rather than work with Beijing towards a stable economic global environment.
• Anti-China narrative, as provided by The Guardian. Public denials of TikTok accessing US user data don't mean much when executives were recorded saying this actually happened. The House bill is one way the US can better protect itself against China weaponizing TikTok, but FTC action is a solid tool to force more transparency from the platform or make it pay a steep price for potential violations of US law.

Predictions