The US Senate has made a significant leap forward with a new regulation requiring TikTok’s parent company, ByteDance, to divest from the platform or face a US ban. This move, echoed by President Biden’s support, stems from fears surrounding TikTok’s algorithm and ByteDance’s potential to share American user data with the Chinese Communist Party. However, TikTok’s CEO Shou Zi Chew vehemently denies these allegations.
The EU’s strategic push under the Digital Markets Act has resulted in mega-tech firms Alphabet, Amazon, Apple, ByteDance, Meta and Microsoft being labelled ‘gatekeepers’. With this new classification, pivotal changes are expected in the realm of digital services for end-users and businesses. Crucial guidelines centering around data transparency, competitiveness, and platform interoperability must now be adhered to. On the other side of the coin, brands such as Samsung have evaded the ‘gatekeeper’ tag.
Top tech giants, including Amazon, Apple, and Microsoft, have recently been identified by the European Commission under the new Digital Markets Act (DMA) as potential digital ‘gatekeepers’. These firms, commanding vast economic and influential prowess, now sit waiting during a 45 day review period that could officially brand them as such. Following the conclusion of the evaluation process, each company will need to navigate a six-month transition to achieve full compliance with the DMA directives. These guidelines are aimed at fostering competition and safeguarding both end-user rights and the interests of small scale businesses.
