TikTok has been hit with a €530m (£451.9m) penalty by Ireland's data watchdog for illicitly moving European user data to China and not adequately informing users about it.
This significant decision escalates the EU's examination of international tech corporations and their data practices involving countries known for pervasive surveillance, as reported by .
The sanction, one of the largest under the EU's General Data Protection Regulation (GDPR), represents the first instance of an EU authority directly addressing data transfers to China.
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The Data Protection Commission in Ireland determined that TikTok did not properly evaluate the potential for Chinese legislation to permit government access to European user data and found that the company could not ensure that data accessed from China complied with EU privacy norms.
Although TikTok had previously insisted that it did not store European data in China, it conceded earlier this year that "limited" EU user information had been located on servers in China.
The company has stated that this data has now been removed and has declared its intention to challenge the ruling comprehensively.
"Beyond the DPC's failure to substantively consider the extensive safeguards [already implemented by Tiktok], we are disappointed to have been singled out despite relying on the same legal mechanism employed by thousands of other companies providing services in Europe," expressed Christine Grahn, TikTok's head of public policy and government relations for Europe, in a formal statement.
In addition to breaches of data transfer, TikTok was also hit with a €45m fine for lack of transparency between 2020 and 2022, as its privacy policies failed to clearly state that personal data could be accessed from China.
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Despite the platform updating its policies and launching Project Clover – a €12bn European data centre initiative – regulators stated these measures were too late to offset the violations.
TikTok has contended that it is being unfairly targeted, warning that the decision sets a precedent that could disrupt thousands of international businesses.
The ruling adds to the platform's growing regulatory challenges in the EU, where it's also under investigation under the digital services act, and has faced previous fines for mishandling children's data.
Tiktok's stalled ban
This fine follows the ongoing stalling and deadline extension of the app, which has had Washington in a twist until late last year.
An initial ban over national security concern was introduced, then reversed, and ultimately the app has been navigating uncharted waters after a number of delays.
However, just last month, it seemed like the stalemate was finally ending – with a deal finally being struck at the White House.
Yet, just days later, President Trump's latest tariff salvo threw the whole deal into disarray.
Trump's latest executive order has given the app yet another 75 days to reach a deal – and ideally avoid a US ban.