ByteDance, the company behind TikTok, has submitted a long-awaited risk assessment for its TikTok Lite service, recently launched in France and Spain, following regulatory threats of fines and potential bans from the European Commission. Regulators are concerned about the addictive nature of TikTok Lite, particularly its rewards system for users, and claim ByteDance didn’t complete a full risk assessment on time.
ByteDance now has to defend itself against regulatory action, including possibly suspending the rewards program. Failure to comply with regulations could result in fines of up to 1% of its total annual income or periodic penalties of up to 5% of its average daily income under the Digital Services Act (DSA).
