TikTok has been formally charged by the European Commission with violating the European Union’s Digital Services Act, potentially exposing its parent company, ByteDance, to a fine of up to 6% of its global revenue.
The charges were issued on Thursday following a year-long investigation by EU tech regulators, who allege the social media platform failed to meet key transparency obligations under the DSA, particularly those related to online advertising.
At the heart of the Commission’s concerns is TikTok’s failure to provide a public advertisement repository. The DSA mandates that large online platforms disclose clear information about the ads they run, including who paid for them, how they are targeted, and what content is being promoted. The aim is to curb the spread of scam ads and protect users from harmful or illegal content.
“Transparency in online advertising — who pays and how audiences are targeted — is essential to safeguarding the public interest,” said EU tech chief Henna Virkkunen in a statement.
TikTok is also under a separate EU investigation into how it manages risks tied to election-related content.
In response, the company pushed back against the EU’s conclusions, saying it supports the goals of the DSA and is continuing to improve its ad transparency tools. However, it criticized the Commission for what it called a lack of clear public guidance.
“We disagree with some of the Commission’s interpretations and note that guidance is being delivered via preliminary findings rather than clear, public guidelines,” a TikTok spokesperson said. “A level playing field and consistent enforcement are essential.”
TikTok now has the opportunity to review the Commission’s findings and submit a formal written response before a final decision is made. If found in breach of the law, ByteDance could face a fine running into billions of euros based on its global turnover.
The case marks one of the most significant enforcement actions taken under the DSA, a sweeping set of rules aimed at increasing accountability and transparency across major digital platforms operating within the EU.
