google.com, pub-3998556743903564, DIRECT, f08c47fec0942fa0 Tiktok Fined $601 Million Over Data Transfers To China

Tiktok Fined $601 Million Over Data Transfers To China

By Steven Andrews

TikTok has been fined €530 million ($601 million) by Ireland’s Data Protection Commission for breaching European Union privacy laws, marking one of the largest penalties ever issued under the bloc’s General Data Protection Regulation (GDPR).

The penalty follows a lengthy investigation into how the Chinese-owned social media giant handled personal data from users in the European Economic Area (EEA). Regulators concluded that TikTok transferred users’ personal data to China without adequate safeguards and failed to ensure the data was protected according to EU standards.

The ruling makes TikTok’s fine the third-largest ever under the GDPR, behind only Amazon’s €746 million fine in 2021 and Meta’s record €1.2 billion sanction earlier in 2023.

Data Transfers to China

In a statement released Friday, DPC Deputy Commissioner Graham Doyle said TikTok’s parent company, ByteDance, failed to demonstrate that data accessed by staff in China was granted a level of protection “essentially equivalent” to what is required within the EU.

“TikTok’s personal data transfers to China infringed the GDPR,” Doyle said. “The company failed to verify, guarantee, and demonstrate that the personal data of EEA users was appropriately protected.”

The commission also cited TikTok’s failure to properly assess the risks of potential access by Chinese authorities under that country’s anti-terrorism and counter-espionage laws.

TikTok Pushes Back

TikTok said it plans to appeal the decision. In a statement, the company warned that the ruling could have broader implications for global companies handling cross-border data.

“We respectfully disagree with the decision, which we believe is based on a misinterpretation of the GDPR,” a TikTok spokesperson said. “We have implemented extensive measures to protect user data and will continue to do so.”

The company also emphasized its recent efforts to localize data storage within Europe, including the opening of new data centers in Ireland and Norway.

Global Scrutiny Grows

TikTok, which is owned by Beijing-based ByteDance, has faced mounting scrutiny over its ties to China and the potential for government access to user data. Lawmakers in the U.S., EU, and several other countries have raised concerns about national security and surveillance risks.

The latest decision from Ireland’s privacy watchdog adds to the growing pressure on TikTok and other global tech firms to comply with Europe’s strict privacy standards, particularly when transferring data outside the bloc.

Under the GDPR, companies can face fines of up to 4% of their annual global revenue for serious breaches.

This case underscores the challenges multinational tech companies face as governments tighten rules around cross-border data transfers in the name of digital sovereignty and user protection.

 

Post a Comment

Previous Post Next Post