TikTok without filters The Consumer Voice in Europe TikTok without filters Table of contents Just for fun, really? Looking at the dark sides of TikTok _____ 6 1. TikTok and its (real) audiences ______________________________________ 6 2. Issues with TikTok _________________________________________________ 8 3. TikTok’s unfair practices constitute a widespread infringement with an EU dimension __________________________________________________________ 9 4. Assessing TikTok’s practices through the lens of children and teenagers as target groups _______________________________________________________ 10 TikTok’s unfair Terms of Service ________________________________ 11 1. Unfair terms due to a lack of transparency in TikTok’s Terms of Service __ 11 2. Unfair term on content ownership and license for intellectual property rights ______________________________________________________________ 13 TikTok’s unfair and abusive “Virtual Items Policy” ___________ 15 1. TikTok “coins” and “virtual gifts”: how does it work? __________________ 15 2. What’s wrong with TikTok’s Virtual Items Policy? _____________________ 17 TikTok’s misleading commercial practices about the processing of users’ personal data ___________________________________________24 TikTok’s failure to take diligent measures to protect young users against hidden advertising and potentially harmful content _____________________________________________________________ 32 1. Hidden advertising and TikTok’s responsibility _______________________ 32 2. TikTok’s failure to take sufficient measures to limit children’s exposure to advertising. _________________________________________________________ 35 3. TikTok’s failure to undertake due diligence to prevent young users’ exposure to inappropriate content. ___________________________________ 36 Annex ______________________________________________________________ 40 2 Sources of the report: Except as otherwise indicated, the screenshots featured in this report were taken by BEUC between November 2020 and February 2021. The analysis is based on the following Tiktok policy documents: the Virtual Item Policy (last updates: December 2019), the Terms of Service (last updates: February 2020), the Privacy Policy (last updates: July 2020) and the Community Guidelines (last updates: December 2020) accessed in the English language version and applying to users domiciled in Europe. Disclaimer Terms and conditions of all the above-mentioned TikTok policies may not be exactly the same in all language versions. Furthermore, not all features of all TikTok services may be available in the same manner in all EU Member States and EEA countries. However, an investigation should consider all aspects raised in the report as they seem to be relevant in most EU Member States and EEA countries. 3 TikTok without filters Just for fun, really? Looking at the dark sides of TikTok 1. TikTok and its (real) audiences As the description of TikTok on the Google Play TikTok is one of the fastest-growing social media store more straightforwardly highlights: application in the world. It is owned by the Chinese company ByteDance and has offices across Europe. “Watch millions of videos selected The app has over two billion downloads on the specifically for you - A personalized video Google Play and Apple’s app stores1, and counts feed specifically for you based on what you over 800 million active users worldwide2. The app watch, like, and share. TikTok will quickly enables its users to create, post and share, in a adapt to your taste to offer the most relevant, simple and entertaining way, 15-to-60 seconds interesting, fun, quirky, head-turning videos videos sound-tracked with music clips, such as that you’ll never want to stop watching”.4 dance competitions, lip-syncs, funny sketches and more. A large part of TikTok’s popularity can be TikTok users spend hours on the app, watching, explained by the wide range of content-editing creating, and sharing videos.5 In addition, the app tools and filters that users can easily use when enables its users to purchase “virtual coins”, which making videos. It is also a consequence of TikTok’s can then be used to send “virtual gifts” to reward algorithm which actively exposes users to never- content providers during live videos. Because of ending streams of videos tailored to their personal its popularity, TikTok has become over the years a characteristics and continuously adapted to their go-to-point for businesses willing to promote their online behaviour and reactions. As TikTok explains: brands and products and wishing to reach out to younger audiences. “When you open TikTok and land in your For TikTok does not disclose detailed information about You feed, you’re presented with a stream of its users’ demographics and states that it does not videos curated to your interests, making it allow registration for users who are below the age of easy to find content and creators you love. 13. This feed is powered by a recommendation system that delivers content to each user that is likely to be of interest to that particular user”.3 1 https://techcrunch.com/2020/04/29/tiktok-tops-2-billion-downloads/ (accessed January 2021). 2 https://datareportal.com/reports/digital-2020-global-digital-overview (accessed January 2021). 3 https://newsroom.tiktok.com/en-us/how-tiktok-recommends-videos-for-you (accessed January 2021). 4 https://play.google.com/store/apps/details?id=com.zhiliaoapp.musically.go&hl=en&gl=US (accessed January 2021). 5 One hour on average in France (https://blog.digimind.com/fr/agences/tiktok-chiffres-et-statistiques-france-monde-2020). On average, Norwegians open the app 17 times a day amounting to 74 minutes in total (www.bloomberg.com/news/articles/2020-09-30/tiktok-users-in-uk-germany-france-italy- norway-ages-screentime-open-rates (accessed January 2021). 4 TikTok without filters Just for fun, really? Looking at the dark sides of TikTok For example, TikTok’s privacy policy claims: In practice, it is very easy for underage users to register on the platform as the age “TikTok is not directed at children under the verification process is very loose and only age of 13. If you believe that we have personal self-declaratory (see the screenshot below, data about or collected from a child under dated November 2020). the relevant age, contact us at: https://www. tiktok.com/legal/report/privacy”.6 Yet, it is a matter of fact that TikTok’s primary audience is composed of children (including children under 13) and teenagers. In other words, it can be assumed that a very big part of TikTok’s users are children below 18. In France, 45% of children below 13 have indicated using the app.7 In the United Kingdom, a 2020 study from the Office for Telecommunications (OFCOM) revealed that 50% of children between eight and 15 upload videos on TikTok at least weekly.8 In Czech Republic, a 2019 study found out that TikTok is very In its Community Guidelines, TikTok claims that its popular among children aged 11-12.9 In Norway, a “users must meet the minimum age requirements news article reported that 32% of children aged to use TikTok, as stipulated in our Terms of Service. 10-11 used TikTok in 2019.10 In the United States, The When underage account holders are identified, New York Times revealed that more than one-third [TikTok] will remove those accounts”.13 Yet of daily TikTok users are 14 or younger, and many according to media reports several of TikTok former videos seem to come from children who are below employees have highlighted that the platform does 13.11 The fact that many underage users are active on not take any proactive measures to ensure that the the platform does not come as a surprise as recent underage users’ accounts are swiftly deleted when studies have shown that, on average, a majority of they are identified.14 According to media reports, children owns mobile phones earlier and earlier (for TikTok seems to be aware that many users under 13 example, by the age of seven in the UK).12 are active on its platform. 6 www.tiktok.com/legal/report/privacy (accessed in January 2021) 7 https://blog.digimind.com/fr/agences/tiktok-chiffres-et-statistiques-france-monde-2020 (accessed in January 2021). 8 www.ofcom.org.uk/about-ofcom/latest/features-and-news/uk-internet-use-surges (accessed in January 2021). 9 www.e-bezpeci.cz/index.php/ke-stazeni/vyzkumne-zpravy/117-ceske-deti-v-kybersvete/file(accessed in January 2021). 10 https://nrkbeta.no/2019/06/20/en-av-tre-10-aringer-bruker-tiktok-ukentlig/ (accessed January 2021). 11 www.businessinsider.com/tiktok-children-users-data-privacy-safety-concerns-coppa-ftc-report-2020-8?r=US&IR=T; www.nytimes.com/2020/08/14/ technology/tiktok-underage-users-ftc.html (accessed in January 2021). 12 www.theguardian.com/society/2020/jan/30/most-children-own-mobile-phone-by-age-of-seven-study-finds (accessed in January 2021). 13 www.tiktok.com/community-guidelines?lang=en#31 (section on minor safety) (accessed in in January 2021). 14 Complément d’enquête – Tous toqués de TikTok !, (2021- France 2). In the US, the New York Times highlighted that “a former TikTok employee told the Times that workers regularly pointed out videos from children on the platform who appeared to be younger than 13, but those users weren’t immediately removed” (www.businessinsider.com/tiktok-children-users-data-privacy-safety-concerns-coppa-ftc-report-2020-8?r=US&IR=T, accessed in January 2021). 5 TikTok without filters 2. Issues with TikTok TikTok’s misleading practices for the TikTok is already on the radar of several