TikTok is under investigation by the FTC over data practices and could face a lawsuit

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A person familiar with the matter says the Federal Trade Commission is investigating TikTok over its data and security practices. The source says the FTC has been looking into whether TikTok violated a portion of federal law that prohibits “unfair and deceptive” business practices by denying individuals in China had access to U.S. user data.

NEW YORK — The Federal Trade Commission is investigating TikTok over its data and security practices, a probe that could lead to a settlement or a lawsuit against the company, according to a person familiar with the matter.

In its investigation, the FTC has been looking into whether TikTok violated a portion of federal law that prohibits “unfair and deceptive” business practices by denying that individuals in China had access to U.S. user data, said the person, who is not authorized to discuss the investigation. The agency is nearing the conclusion of its investigation and could settle with TikTok in the coming weeks. But there’s not a deadline for an agreement, the person said.

The news comes nearly two years after Senate Intelligence Committee Chairman Mark Warner and Marco Rubio, the top Republican on the committee, urged FTC chair Lina Khan to investigate TikTok, citing a report from Buzzfeed News that said ByteDance employees in China have repeatedly accessed data on U.S. TikTok users.

 

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