FTC Investigates TikTok’s Data Practices, Potential Lawsuit Looms

TikTok is already facing challenges in Washington, including potential legislation that could lead to a ban if it doesn't sever ties with its parent company, ByteDance.

In the latest development surrounding TikTok, the Federal Trade Commission (FTC) has launched an investigation into the social media platform’s data and security practices. According to a source familiar with the matter, this probe could culminate in either a settlement or a lawsuit against the company.

The scrutiny from the FTC adds to TikTok’s growing challenges in Washington. The platform is already embroiled in a contentious battle against a federal bill that threatens to ban its operations in the United States unless it severs ties with its parent company, ByteDance, based in Beijing.

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The investigation underscores the intensifying regulatory scrutiny facing social media companies, particularly regarding data privacy and security concerns. As the situation unfolds, TikTok faces mounting pressure to address these issues and navigate potential legal ramifications.

TikTok’s troubles highlight broader concerns surrounding data privacy and national security, particularly in the context of foreign-owned tech companies operating within the United States. The outcome of the FTC investigation could have significant implications not only for TikTok but also for the regulation of social media platforms more broadly.

The investigation comes amid growing calls for stricter oversight of tech giants and their handling of user data. With privacy advocates and lawmakers closely monitoring the situation, TikTok faces a pivotal moment in its efforts to maintain its foothold in the highly competitive social media landscape while addressing regulatory challenges.

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