TikTok was attempting to unleash targetted ads to users despite not receiving their consent but luckily, Italy warned against it. Now, the company is reconsidering its decision to launch targeted ads after it received a warning.
TikTok Initially Wanted to Use On-App Data to Serve Targeted Ads to Users
Despite getting ready to launch a new feature that would force users to receive targeted ads, due to backlash it received from some places, TikTok might have decided to pause its decision on personalized ads.
Early in July, users of TikTok in Europe were told that the platform would start using on-app data to serve them targeted ads. Just less than a day before the change was supposed to roll out around the EU, the company seems to be reconsidering its decision.
Authorities Around the World are Questioning TikTok's Decision to Serve Targeted Ads
As noted by a company spokesperson to Tech Crunch, the company decided to pause the update while it deals with questions from stakeholders regarding how personalized ads are handled.
According to the story by Gizmodo, there are still a lot of questions being thrown around regarding TikTok's decision to use personalized ads from the data protection authorities in the UK, US lawmakers, and privacy experts from across the globe.
TikTok Planned to Use the 'Legitimate Interest' Clause for Them to Use Data
Before the change occurs, all European users need to do to get personalized apps is to offer their consent. The update planned to get rid of this step and directly provide users with targeted ads based on a legal basis called "legitimate interest."
The legitimate interest clause noted that the company would be able to process the data from people consent-free if TikTok thought it was reasonable. Gizmodo notes that since the company earns from targeted ads, it could be reasonable for them to use these ads to rake in revenue.
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How Authorities from Around the World are Dealing with TikTok
Just while TikTok was getting ready to launch its targeted ads, the data protection authorities from Italy decided to issue a formal warning regarding the changes. As per Italy, the legitimate interest clause should not be used willingly, and the company doesn't have the necessary grounds to rely on it.
On top of the issue at hand, the same warning was also given to TikTok regarding how the potential ads might target underage users. Meanwhile, the data watchdog of Ireland is also launching a separate probe into TikTok over alleged GDPR violations for about a year.
Aside from that, TikTok is also dealing with lawsuits in the UK for alleged GDPR violations. While lawmakers from other parts of the world are already doing something about it, in the US, lawmakers are also calling for the FTC to launch a probe into the data-sharing details of the app.
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This article is owned by Tech Times
Written by Urian B.
