TikTok and Meta, the parent company of Facebook, are taking legal action in response to recently implemented European Union regulations aimed at reducing the power of major tech companies and promoting fairer competition by allowing users more options.
According to a statement on its blog on Thursday, TikTok is contesting its designation as an online “gatekeeper” under the Digital Markets Act. The company argues that it is a fresh competitor in the social media market, challenging established players.
Earlier, Meta expressed its disapproval of the 27-nation bloc’s ruling to classify its Marketplace and Messenger as gateway services under the new regulations. It stated that it is requesting further clarification on certain legal aspects.
The Digital Markets Act is set to be implemented in March, outlining a set of guidelines for large tech companies to follow in order to provide users with more options. Failure to comply may result in significant consequences.
According to the company, calling TikTok a gatekeeper goes against the DMA’s objective of promoting competition by shielding established gatekeepers from emerging rivals like TikTok. The company also stated that TikTok is a strong contender among larger social media platforms.
In September, the gatekeeper label was also assigned to Amazon, Apple, Google, and Microsoft, as well as TikTok’s parent company ByteDance and Meta. This is due to the fact that they offer 22 essential platform services, including Chrome and Safari browsers, WhatsApp messaging, and Google Maps, which serve as intermediaries between businesses and customers.
Meta does not dispute being labeled as a gatekeeper, however, the company believes that the European Commission, the executive branch of the EU, was mistaken in targeting Marketplace and Messenger as essential platform services.
According to Meta, the appeal does not change our strong dedication to following the DMA. We will still collaborate with the European Commission to ensure compliance in a positive manner.