TikTok has encountered a legal setback in Europe after a key adviser to the continent’s highest court advised maintaining its official gatekeeper status under the Digital Markets Act.
Andrea Biondi, Advocate General at the Court of Justice of the European Union, said the court should dismiss the challenge brought by ByteDance, TikTok’s parent company, against the European Commission’s decision.
“The Court should dismiss the action brought by Bytedance (TikTok) against the decision of the Commission designating it as a gatekeeper under the Digital Markets Act,” Biondi said in his opinion.
The recommendation is not legally binding, and judges are expected to deliver their ruling in the coming months. The court usually follows such recommendations in most cases.
The dispute centres on TikTok’s classification as a gatekeeper under the EU’s Digital Markets Act, which imposes strict obligations on major digital platforms to promote fair competition in the digital market.
The case is registered as C-627/24 P, ByteDance v Commission.
What You Should Know
A legal adviser to the European Union’s top court has recommended dismissing ByteDance’s challenge against TikTok’s designation as a major digital gatekeeper. This classification subjects the popular video platform to stringent regulations aimed at ensuring fair competition within the European market.
- Positive Impact: Enhanced fair competition rules can create a more balanced playing field for other digital service providers and businesses operating in the EU.
- Potential Concerns: Stricter compliance obligations under the Digital Markets Act could impose heavy operational challenges and legal constraints on TikTok’s platform functions.
