TikTok Under EU Scrutiny for Breaking Digital Ad Rules

TikTok is back in the spotlight but not for a viral dance challenge. The European Union has formally accused the popular short-video app of violating key digital advertising rules under its sweeping Digital Services Act (DSA). 

This marks the first time Brussels has directly called out TikTok for non-compliance with the law, signaling growing frustration with how the platform handles transparency around online advertising.

According to the European Commission, TikTok has failed to provide enough information about the ads it runs. Specifically, the Commission says the platform does not disclose sufficient details about what the ads contain, who is being targeted, and who is paying for them. 

That lack of clarity raises red flags for regulators who want to ensure users aren’t being misled or exposed to harmful content without knowing it.

“In our preliminary view, TikTok is not complying with the DSA in key areas of its advertisement repository,” said the EU’s digital chief, Henna Virkkunen. She emphasized that TikTok’s current setup limits the ability to properly assess the risks tied to its advertising and targeting systems.

TikTok responded cautiously, stating that it is reviewing the Commission’s findings and that it remains committed to following the rules. 

However, the company pushed back slightly, saying it disagrees with some of the EU’s interpretations especially since the criticisms came through preliminary findings rather than official guidelines.

The Digital Services Act, which came into force last year, was designed to hold major tech companies accountable for how they operate online. 

Under the law, large platforms are required to maintain a public library of all advertisements, making it easier for watchdogs, researchers, and the public to track harmful ads and disinformation campaigns. Failure to comply can result in fines as steep as six percent of a company’s global revenue.

For TikTok, this isn’t the only regulatory challenge it faces in Europe. The platform is still being investigated over concerns it isn’t doing enough to protect young users. One major concern is the so-called “rabbit hole” effect where algorithms push users, particularly teens, deeper into increasingly extreme content. TikTok’s controversial Lite app, which featured a rewards-based system that critics said encouraged excessive use, was removed in France and Spain after EU regulators intervened.

There have also been ongoing worries over content trends like “SkinnyTok,” where users post videos glorifying extreme thinness. Several EU countries have flagged the trend as dangerous, prompting further scrutiny into how well TikTok moderates its content. 

While TikTok insists it does not allow content that promotes harmful behaviors, the EU wants more than promises, it wants proof.

TikTok is not alone in this regulatory squeeze. Other tech giants, including Elon Musk’s X (formerly Twitter), have also been targeted by the EU under the DSA for issues ranging from disinformation to misleading labeling systems.

As the EU continues tightening the reins on big tech, TikTok now finds itself at the center of a much larger debate: can massive platforms be trusted to police themselves, or do they need constant oversight? 

The outcome of this case may set a precedent, not just for TikTok, but for every digital player operating in the EU’s digital space.