Seems to be like one other powerful week forward for TikTok.

With the U.S. trying to push forward a Senate vote which will determine the destiny of the app for its 170 million American customers, E.U. officers are additionally questioning one other TikTok initiative, which is seemingly designed to extend utilization in that area.

A few weeks again, The Data’s Kaya Yurieff reported that TikTok had launched a brand new providing in Spain, France, and several other different nations, which successfully pays customers for utilizing the app.

As defined by Yurieff:

“[TikTok] is introducing a brand new app that may encourage customers to observe movies, invite mates to enroll and carry out different actions by awarding them factors they will redeem as reward playing cards or digital ideas to provide creators. The app, referred to as “Coin App” inside the firm and “TikTok Lite” to the general public, is designed to assist TikTok increase development amongst folks aged 18 and older.”

On the time, after I learn this replace, I assumed there could also be one thing extra to it, as TikTok truly launched its separate “TikTok Lite” app again in 2018. So it wouldn’t be a brand new app, as such, however a brand new program, and it appeared like there can be extra info to return as to how the initiative would operate.

However based mostly on screenshots, that is precisely how TikTok Lite’s rewards program works.

The prompts right here inform customers that they will earn factors by discovering and liking movies within the app. There’s additionally a meter that fills as much as let you understand how you’re progressing in direction of level objectives, gamifying utilization of the app.

And evidently, E.U. investigators have seen sufficient to lift their very own considerations, with the E.U. as we speak saying a proper probe into the TikTok Lite program, which it believes could also be in violation of its  Digital Providers Act (D.S.A.).

As per E.U. Fee:

“The Fee has opened a proper continuing to evaluate whether or not [TikTok] could have breached the DSA when launching TikTok Lite in France and Spain. Below the DSA, designated Very Massive On-line Platforms are obliged to submit a danger evaluation report, together with measures to mitigate any potential systemic dangers, previous to launching any new functionalities which might be more likely to have a important influence on their systemic dangers. The Fee is anxious that the “Job and Reward Program” of TikTok Lite, which permits customers to earn factors whereas performing sure “duties” on TikTok – akin to watching movies, liking content material, following creators, inviting mates to hitch TikTok, and so on. – has been launched with out prior diligent evaluation of the dangers it entails, particularly these associated to the addictive impact of the platforms, and with out taking efficient danger mitigating measures.”

E.U. investigators are particularly involved in regards to the potential impacts of this system on youngsters, as it might incentivize extra utilization, with youngsters successfully being paid to maintain scrolling within the app.

Which appears fairly dangerous, and never a fantastic search for TikTok total.

The E.U. Fee says that it could search to droop this system within the quick time period, whereas violations of the D.S.A. may price corporations as much as 6% of their international income.

TikTok will now have till April twenty fourth to stipulate its response to the claims.

Actually, if that is the framework that TikTok goes with to reignite curiosity within the app, then it’s a fairly determined measure, which is more likely to set off sanctions towards the app.

Based on Yurieff, TikTok has seen a slowdown in utilization of late. The platform presently has round 136 million customers in Europe, a major chunk of its total viewers, although its momentum has eased as different platforms have provided comparative features like Instagram Reels and YouTube Shorts.

Which is why it’s trying to new initiatives to spice up curiosity as soon as once more, and the proposed define of this program is questionable, on varied fronts.

Mainly, if that is what TikTok’s providing, it’s an issue, that may see it punished because of this. However possibly, TikTok has some different rationalization, which it is going to current to European authorities.   

Both manner, it’s one other headache for the app, particularly because it’s attempting to argue that it’s not trying to affect consumer conduct.