European Union regulators have formally accused TikTok of contravening digital content regulations, citing insufficient transparency regarding the advertising disseminated to users of the video-sharing platform.

Preliminary findings from the European Commission's investigation indicate that TikTok's advertising archive falls short of the standards mandated by the Digital Services Act (DSA), the EU executive arm has asserted.

The Commission asserted that advertising databases are indispensable for researchers to identify fraudulent advertisements and hybrid threat campaigns, encompassing coordinated disinformation campaigns and deceptive ads, particularly concerning elections.

The Digital Services Act is an expansive regulatory framework designed to sanitise social media platforms and safeguard users from various hazards, notably disinformation campaigns that could undermine elections. Platforms are mandated to ensure transparency concerning digital advertising, encompassing clear explanations to users regarding the rationale behind ad targeting and the identity of the advertisement's sponsor.

The Commission asserted that TikTok fails to furnish requisite details regarding ad content, target demographics, and sponsor identification; furthermore, the database's inadequate search functionality, specifically its inability to conduct comprehensive searches based on the aforementioned information, "curtails the tool's efficacy," they stated.

TikTok stated they are currently scrutinising the Commission's conclusions and reaffirm their dedication to fulfilling their obligations under the DSA.

"Although we remain committed to the regulation's objectives and are consistently enhancing our ad transparency resources, we take issue with certain interpretations put forth by the Commission and observe that guidance is being disseminated through preliminary conclusions rather than explicit, publicly accessible directives," the company asserted in a statement.

Henna Virkkunen, the commission's executive vice-president for tech sovereignty, security and democracy, asserted that deficiencies in the advertising database preclude a comprehensive evaluation of the potential hazards stemming from its ad targeting mechanisms.

Virkkunen asserted that the transparency of online advertising, encompassing its financial backers and audience-targeting methodologies, is paramount to safeguarding the public interest. She elaborated that citizens are entitled to know the identities of those disseminating online messages, be it to uphold the integrity of democratic elections, safeguard public health, or shield consumers from fraudulent advertisements.

TikTok has been afforded the opportunity to respond prior to the Commission's definitive ruling, which could entail a penalty of up to 6% of the company's annual worldwide turnover.

Furthermore, TikTok faces a distinct EU inquiry regarding potential inadequacies in addressing risks pertaining to Romania’s presidential election, an event destabilized last year by allegations of electoral malfeasance and suspected Russian interference.