TikTok lands in Canada crosshairs in data collection investigations

In a joint investigation led by federal Privacy Commissioner Philippe Dufresne, Canadian regulators have found that TikTok’s efforts to keep children off its platform and safeguard their personal data are inadequate.

Quebec, British Columbia, and Alberta commissioners have all concluded that children can still access the short-video content app. At the same time, TikTok collects their information for targeted advertising.

The investigation began in 2023 after policymakers raised concerns about the social media company’s data practices and the presence of young users, even though its terms state the minimum age of use is 13. 

Canadian authorities: Data is collected from children

According to Reuters, the privacy commissioners said they discovered that hundreds of Canadian children continue to use TikTok each year, with the platform collecting personal information from a “large number” of them.

“This data is being used to target the content and ads that users see, which can have harmful impacts, particularly on youth,” Commissioner Dufresne told reporters at a press conference on Wednesday, while announcing the findings. 

He added that TikTok gathers “vast” amounts of data from users, including children, and that the information can influence the type of advertising and media pushed to them. Statistics from Quebec show 40% of children aged six to 17 use TikTok, and among six- to 12-year-olds, the proportion is 17%. 

“We were certainly struck by how elaborate a profiling that TikTok was using. What information was being collected with these facial and voice analytics, and how they were always being used in combination with things like your location, information to create elaborate inferences about users, and what their spending power was, that’s the real concern,” said British Columbia Privacy Commissioner Michael Harvey. 

TikTok promises to improve data transparency and age restrictions

Responding to some of the findings, TikTok agreed to enforce age verification for users and to make its data practices more transparent. The company told commissioners that it would prevent advertisers from collecting data from users under 18, except through categories such as language and approximate location. 

“TikTok agreed to enhance age-assurance methods to keep underage users off the platform and to improve its communications so that users, particularly younger ones, understand how their data could be used,” Dufresne said.

A spokesperson for TikTok welcomed parts of the report, saying the company was pleased the commissioners accepted many of its proposals. 

“While we disagree with some of the findings, we remain committed to maintaining strong transparency and privacy practices,” the spokesperson read.

Much like the US, the Canadian government is concerned about China’s influence and ties to parent company ByteDance. 

White House confirms US ownership deal structure

In the US, the White House confirmed details of a pending deal that would transfer TikTok’s US operations to a new ownership group led by American investors on Monday. A senior White House official said the agreement will place control of TikTok’s algorithm under a joint venture based in the United States. 

As reported by Cryptopolitan, the venture will be managed by a majority American board of directors led by Larry Ellison’s Oracle. Private equity firm Silver Lake, tech leader Michael Dell, and Fox Corp., controlled by Rupert and Lachlan Murdoch, are expected to join as investors, along with other global firms involved with ByteDance.

TikTok’s parent company will retain a less than 20% stake in the US business deal, pending final regulatory approvals in China. White House Press Secretary Karoline Leavitt said the administration is “100 percent confident that a deal is done” and expects it to be signed within days.

President Trump is expected to sign an executive order later this week declaring that the transaction meets the requirements of a 2024 law mandating that TikTok be sold or banned. The order will also extend a pause on enforcing the law for another 120 days for paperwork and approvals to be finalized. 

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