#tiktok

The European Union has warned TikTok that it must change what regulators describe as the app’s “addictive design” or risk fines of up to 6% of its global annual revenue under the Digital Services Act (DSA). EU officials say TikTok failed to properly assess how features like infinite scroll, autoplay, and its powerful recommendation algorithms affect users, particularly minors, and did not implement enough safeguards to reduce those risks. TikTok has strongly rejected the accusations, calling the Commission’s view “categorically false and entirely meritless” and saying it will challenge the decision. Under the DSA, the EU can levy fines of up to 6% of a company’s worldwide turnover for serious violations, making this a potentially multibillion-dollar hit for TikTok’s parent company ByteDance if the findings are upheld. TikTok Shop has reached a new milestone, matching eBay’s scale in global ecommerce sales. Launched in the US in 2023, TikTok Shop’s explosive growth now puts it alongside ecommerce veterans despite regulatory scrutiny, tariffs, and ongoing debates over potential bans. While the US remains TikTok Shop’s top market, Southeast Asia has emerged as its fastest-growing region, led by Thailand, Indonesia, Vietnam, and the Philippines. In contrast, TikTok Shop’s livestream sales in the US remain limited, with only about 2% of users engaging with live shopping streams. Read more in our articles including "EU orders TikTok to fix ‘addictive’ design or face massive fines" and "TikTok Shop now on par with eBay, sales surge driven by Southeast Asia growth".