CJEU rejects TikTok’s interim measure request to suspend its gatekeeper designation under DMA
The CJEU denied TikTok’s interim measure request to suspend its gatekeeper status under the DMA until final decision. CJEU cited a lack of demonstrated risk to confidentiality or serious harm. Final decision on the company’s status under DMA is still pending.
The Court of Justice of the European Union (CJEU) has rejected TikTok’s parent company Bytedance’s interim measure request to suspend its gatekeeper designation under the Digital Markets Act (DMA).
TikTok filed an appeal in November 2023 regarding the European Commission’s decision to designate it as a gatekeeper under the DMA. TikTok claimed that its designation undermines the DMA’s intended goals. Instead, TikTok claimed that its role is considered a challenger rather than a gatekeeper.
Before reaching the final decision on this appeal, TikTok filled an interim measure order in December 2023 before the CJEU suspended its gatekeeper status until a decision is reached. As such, the CJEU dismissed TikTok’s application as it has not shown that there is a real risk of disclosure of confidential information or that such a risk would give rise to serious and irreparable harm to the company.
Why does it matter?
While this is not decision is not final on TikTok’s status under the DMA, it still means that TikTok has to comply with the DMA rules that go into effect in March 2024, even if the CJEU approves its appeal at a later stage. Additionally, this means that TikTok will join other companies, including Apple, Meta, Amazon, and Google, in changing their policies for the EU citizens. This means that if TikTok fails to comply with DMA, it could get a fine.