FTC Investigating TikTok Over Privacy Concerns
The US Federal Trade Commission (FTC) is investigating TikTok over its data privacy and security practices, in particular related to collecting data from users under 13.
The Children’s Online Privacy Protection (COPPA) rule requires that companies notify and obtain consent from parents of users under 13 before they can collect any user data.
In addition, the FTC is also investigating TikTok to determine if it has violated certain terms of the FTC Act. The social media company is under fire for conducting “unfair or deceptive acts” when it comes to “the collection, use, and/or disclosure of personal information from and about children on the Internet.” TikTok maintains that persons in China cannot access user data.
TikTok CEO Shou Zi Chew went before congress last year to discuss the initiatives TikTok was implementing to store and protect American user data in the US.
Following the investigation, should the FTC conclude that TikTok violated COPPA regulations, it could bring a lawsuit against TikTok or opt to settle the complaint directly with the company. The outcome should arrive in the next few weeks.
If the FTC opts to move forward with a lawsuit, it will be up to the Justice Department to decide whether it will file a case, amend the suit, or send it back to the FTC to pursue further.
This investigation comes on the heels of the US House of Representatives passing a bill that would require TikTok to separate from its China-based parent company ByteDance or risk being banned in all app stores in the US. However, the bill still needs to pass the Senate before going before President Biden.
Data security has been a continuing concern for TikTok, with US officials worried about the Chinese laws that require Chinese companies to cooperate with intelligence demands that could put US user data at risk.