TikTok has lost its fight to be exempted from antitrust law in Europe and has said it will comply. However, it risks being banned in the European Union for violating child protection laws and faces a separate decision on its future in the US. TikTok’s future remains uncertain.

TikTok loses legal battle in Europe; faces US and EU bans

In Europe, TikTok was ruled to have enough users to be subject to the Digital Markets Act (DMA). TikTok’s parent company, Bytedance, challenged this decision in court but lost, Bloomberg reports. The General Court of the European Union ruled that TikTok should be subject to this new law aimed at reining in big tech companies. Bytedance can appeal this decision, but for now, it said it has started working to comply with the DMA.

Even if TikTok complies with the DMA’s requirements, it still risks being banned on the grounds that it aims to addict children. European Commission President Ursula von der Leyen had described the app as “dangerous”. Actions such as TikTok offering gift vouchers to reward users for watching videos could be considered illegal on the grounds that they encourage children to use the app for longer.

In March, the US House of Representatives voted to ban TikTok from the US or sell the app to an American company. President Biden signed a bill giving Chinese owner ByteDance nine months to sell the app to a US company. TikTok has taken the US government to court, arguing that this ban is unconstitutional and violates freedom of expression. This case will be handled on an expedited basis and will be heard in September.

TikTok faces serious legal and regulatory challenges in both Europe and the US. In Europe, as it continues to work to comply with the DMA, it risks being banned for violating child protection laws. In the US, the future of the app will depend on the court’s decision. It remains to be seen how the platform will navigate this challenging process.