ByteDance loses EU court challenge
TikTok’s owner, ByteDance, must comply with EU gatekeeper regulations CJEU rules.
ByteDance, the owner of TikTok, lost its challenge against being labeled a gatekeeper under the EU Digital Markets Act (DMA). This ruling strengthens antitrust regulators’ efforts to limit the influence of Big Tech. The DMA requires gatekeepers to make messaging apps interoperable, allow users to choose pre-installed apps, and prevent them from favoring their services.
ByteDance argued that the designation could protect dominant companies from competition, but the Court of Justice of the EU (CJEU) ruled that the company had not substantiated its claims. The court highlighted TikTok’s significant growth, making it comparable to rivals such as Meta Platforms and Alphabet.
Judges noted that ByteDance met the DMA’s thresholds concerning global market value and the number of TikTok users within the EU. ByteDance expressed disappointment but mentioned it had already taken steps to comply with the DMA’s obligations before last March’s deadline.
Other companies designated as gatekeepers include Alphabet, Amazon, Apple, Booking.com, Meta Platforms, and Microsoft. Apple and Meta are also contesting their gatekeeper labels, with Apple arguing against the classification of its App Stores and iOS operating system.