TikTok may face a $29 Million case regarding failing to protect children's data on the platform, as South China Morning Post reported.
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BERLIN, GERMANY - SEPTEMBER 21: A young man holding a smartphone casts a shadow as he walks past an advertisement for social media company TikTok on September 21, 2020 in Berlin, Germany. U.S. President Donald Trump has given preliminary approval for Oracle, Walmart and other investors to take over TikTok and create a new U.S.-based company called TikTok Global.
A "notice of intent" was issued by The Information Commissioner's Office that informed TikTok regarding its data breach in the United Kingdom between May 2018 to July 2020. This includes the date when the investigation started, which was in 2019.
TikTok has 1 billion active users globally. As per Ofcom, 44% of 8 to 12-year-olds in the United Kingdom have been using the application.
Findings of ICO
As per the ICO, TikTok has processed the data of 13-year-olds without the consent of their parents. Along with this is the failure to provide proper information for much younger users that they can easily understand.
The company also failed to process "special category data" like information regarding a person's race or ethnicity without legal consent.
In a statement released on ICO's website, Information Commissioner John Edwards stated that "We all want children to be able to learn and experience the digital world, but with proper data privacy protections, companies providing digital services have a legal duty to put those protections in place, but our provisional view is that TikTok fell short of meeting that requirement."
BBC stated that all of the findings are provisional, and there are still no decisions have been made at this moment. ICO can only issue a fine worth 4% of TikTok's annual global revenues based on the EU's GDPR.
Thirty days will be given to TikTok to respond with the decision, which can be changed if the company makes a convincing case to defend the allegations. This may lead to reducing the fine penalty or refraining them from being fined.
TikTok's Response
CNBC received a statement from a spokesperson from TikTok and said that the company disagrees with ICO's fine and will respond with a formal statement.
The spokesperson added, "While we respect the ICO's role in safeguarding privacy in the UK, we disagree with the preliminary views expressed and intend to formally respond to the ICO in due course."
TikTok was also fined last year with $5.7 million by the Federal Trade Commission and South Korea's Communications Commission for $100,000, both for the same reasons.
Also Read: TikTok Denies Data Breach Following Hackers Claim of Obtaining Users' Records
ICO also said that 50 other different online platforms are currently on their watch regarding the handling of children's data in general. As of the moment, six investigations are active in the companies that were not "taking their responsibilities for protecting children's safety."
Related Article: Report Finds TikTok to Show 20% Misinformation Upon Search: No Fact Check?
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Written by Inno Flores
