TikTok, one of the world’s most popular social media platforms, is under intense scrutiny in Europe after being formally charged by EU regulators with breaching key online content rules. On Thursday, the European Commission revealed it had issued preliminary findings against TikTok for failing to comply with the Digital Services Act (DSA), a sweeping law designed to regulate digital platforms, curb illegal content, and promote transparency in online advertising.
At the heart of the charge is TikTok’s alleged failure to provide a public advertisement repository, a key requirement under the DSA that enables researchers, watchdogs, and the public to understand who is placing ads on the platform, how those ads are being targeted, and whether users are being manipulated or misled.
This development raises the stakes dramatically for ByteDance, TikTok’s China-based parent company, which could face a fine of up to 6% of its global annual turnover a potentially massive financial hit, especially given TikTok’s explosive international growth and influence.
The European Commission, acting as the enforcement arm of the EU, has been increasingly assertive in policing Big Tech under the DSA, which went into effect last year. This new law requires major online platforms to mitigate risks such as the spread of illegal content, disinformation, and harmful advertising. One of its most public-facing provisions is the advertisement transparency mandate, requiring companies to publicly disclose information about paid promotions including who paid for them, what users were targeted, and why.
But, according to the Commission, TikTok has fallen short on multiple fronts.
“The company does not provide the necessary information about the content of advertisements, the targeted users, and who paid for the advertisements,” the Commission stated in its official communication.
EU tech chief Henna Virkkunen echoed the importance of transparency in today’s online environment, emphasizing that the public has a right to know who is influencing them online.
“Transparency in online advertising who pays and how audiences are targeted is essential to safeguarding the public interest,” she said.
Without that transparency, the Commission argues, there is increased risk of scam ads, political manipulation, and harmful content slipping through the cracks all while users remain unaware of how and why they’re being targeted.
TikTok Pushes Back
TikTok, unsurprisingly, disagrees with the Commission’s preliminary findings. In a statement released following the charge, the company defended its efforts to meet DSA standards, while subtly criticizing the process.
“While we support the goals of the regulation and continue to improve our ad transparency tools, we disagree with some of the Commission’s interpretations,” a TikTok spokesperson said. “We note that guidance is being delivered via preliminary findings rather than clear, public guidelines.”
The company pointed to the need for “a level playing field and consistent enforcement” a not-so-subtle suggestion that enforcement of the DSA should be equitable across all major platforms, not just TikTok.
To that end, TikTok now has the right to review the Commission’s evidence and submit a written response. Only after that will the Commission decide whether to issue formal penalties.
Not TikTok’s Only EU Problem
This isn’t the only storm TikTok is facing in Europe. The company is also being investigated for its handling of election-related risks, another sensitive area under the DSA. The EU is increasingly concerned about the role platforms like TikTok may play in spreading disinformation, polarizing public discourse, and potentially influencing democratic processes especially in a year filled with key elections across the continent.
With European institutions doubling down on digital accountability, TikTok’s troubles could mark the beginning of a much broader reckoning for platforms that operate on the continent.
While the Commission’s charges apply specifically to operations in the EU, the implications are global. Other regulatory bodies in the United States, Canada, and Australia are closely watching how the DSA is enforced, and TikTok’s compliance or defiance could shape international regulatory momentum.
Additionally, a major fine or operational restriction in the EU one of TikTok’s biggest markets could ripple across its business model, particularly if ad transparency reforms are forced at scale. Brands, influencers, and users alike could see changes in how ads appear, how personal data is used, and how content is ranked or recommended.
TikTok is not out of options yet. The current stage involves formal consultation, and it may take months before any final decision or fine is handed down. Still, the Commission’s move sends a strong message: compliance with the DSA is not optional, and even fast-growing, youth-centric platforms like TikTok will be held accountable.
For now, all eyes are on how TikTok responds and whether this clash signals a broader shift in the power dynamic between digital giants and democratic institutions.