The European Commission has preliminarily determined that U.S. tech giants TikTok and Meta have breached key transparency obligations under the European Union’s Digital Services Act (DSA). The findings were announced Friday as the EU continues to tighten regulatory oversight on major digital platforms.
According to the Commission, both companies failed to provide researchers with “adequate access” to public data, limiting their ability to scrutinize content trends and potential social risks. The DSA requires that platforms allow independent experts to assess whether users, including minors, are being exposed to illegal or harmful content.
The Commission further found that Meta, the parent company of Facebook and Instagram, has not offered users straightforward tools to report illegal content or effectively challenge moderation decisions. These issues could represent serious non-compliance with the DSA’s core safety and accountability rules.
Meta has rejected the allegations. In a statement, spokesperson Ben Walters said the company has already updated its reporting systems, appeals processes, and data access tools across the EU. “We disagree with any suggestion that we have breached the DSA,” he stated.
TikTok also defended its approach, saying it values transparency and has granted nearly 1,000 research teams access to platform data. However, TikTok argued that some EU requirements conflict with data protection rules under the General Data Protection Regulation (GDPR), urging clarity from regulators.
The European Commission said the current systems in place at Facebook, Instagram, and TikTok may leave researchers with “partial or unreliable data,” hindering studies into potential physical and mental health impacts of social platforms.
Both companies will have an opportunity to respond in writing to the preliminary findings. If the findings are confirmed, the Commission could impose fines of up to 6 percent of the companies’ global annual revenue. This would represent a significant penalty for both Meta and ByteDance, TikTok’s parent company.
The move marks the latest in a series of increasing regulatory actions targeting Big Tech. Meta was fined €200 million earlier this year under another EU law, the Digital Markets Act, related to data consent practices. TikTok has also faced major penalties, including a €530 million fine in Ireland tied to data transfers to China.
The ongoing investigations show the EU’s determination to ensure powerful digital platforms comply with Europe’s standards on transparency, privacy, and consumer protection.