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ByteDance

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Two more senators are calling for restrictions on TikTok’s operations in the U.S., citing alleged risks to national security and consumer privacy presented by the Chinese-owned platform.

In the letter sent Thursday, U.S. Sens. Richard Blumenthal (D-Conn.) and Jerry Moran (R-Kan.) called on the Committee on Foreign Investment in the United States (CFIUS), which is currently investigating TikTok’s 2017 merger with Musical.ly, “to swiftly conclude its investigation and impose strict structural restrictions” between the platform and its Chinese parent company, ByteDance — including by “potentially separating” the two companies. The letter was addressed to U.S. Treasury Secretary and CFIUS chair Janet Yellen.

In the letter, Blumenthal and Moran cite a December disclosure by ByteDance — reported by The New York Times — that four of its employees obtained the data of several TikTok users, including two journalists, in an effort to locate the sources of suspected leaks to journalists of internal company conversations and documents.

Despite ByteDance’s assertion that it fired the employees involved, Blumenthal and Moran allege that the scheme was in fact perpetrated by a “formal ‘Internal Audit and Risk Control’ team” directed by senior executives, including TikTok CEO Shou Zi Chew.

“The incident also occurred while TikTok’s executives had repeatedly promised that Americans’ personal data was secure against such spying,” the letter reads, citing testimony given by TikTok’s vp/head of public policy, Michael Beckerman, to the Senate Commerce Committee’s Subcommittee on Consumer Protection in October 2021.

The letter goes on to claim that TikTok company engineers “continue to have dangerous access to Americans’ personal data and control over its algorithmic recommendation systems, access that continues enable this spying on journalists.”

The senators cite several more reports to bolster their case, including a December article in The Wall Street Journal reporting that TikTok’s product development and management — including oversight of its algorithmic recommendation system — remains based in China. Another article published by Forbes in August, which reported that roughly 300 current employees at TikTok and ByteDance work or have worked for Chinese propaganda outlets including Xinhua News Agency and China Global Television, is also held up as evidence to support restrictions.

Elsewhere, Blumenthal and Moran cite an October investigation by Consumer Reports that found TikTok tracks Americans — including those who don’t use the platform — by embedding “a tracking technology” on partner websites. “While this collection effort is ostensibly an advertising effort by the company, the transmission to TikTok of non-user IP addresses, a unique ID number, and information about what an individual is doing on a site provides a deep understanding of those individuals’ interests, behaviors, and other sensitive matters,” the letter adds.

Despite TikTok’s assurance that it no longer censors videos critical of the Chinese government and other authoritarian regimes, the senators additionally allege that the platform “continues to opaquely demote or remove certain content, including blocking LGBTQ accounts.”

TikTok “is clearly, inextricably dependent on ByteDance for its operations,” the letter concludes, “and therefore beholden to the government of China.”

Thursday’s letter is just the latest in a string of recent condemnations of TikTok by U.S. lawmakers. In December, President Joe Biden signed a bill that prohibits use of the platform by nearly 4 million government employees on devices owned by its agencies, joining at least 27 state governments and several universities that have passed similar measures. The same month, Sen. Marco Rubio (R-Flor.), Rep. Mike Gallagher (R-Wis.) and Rep. Raja Krishnamoorthi (D-Ill.) introduced a bill that would effectively ban TikTok and any other China-based social media platform from operating in the United States. And earlier this month, Sen. Michael Bennet (D-Col.), pushed Apple and Google to remove TikTok from their app stores over national security concerns, claiming the Chinese Communist Party could “weaponize” the platform against the United States by forcing ByteDance to “surrender Americans’ sensitive data or manipulate the content Americans receive to advance China’s interests.”

These lawmakers clearly weren’t assuaged by TikTok’s announcement in June that it had started routing U.S. user data to Oracle cloud servers located in the U.S., instituted audits of its algorithms and established a new department to solely manage U.S. user data for the platform.

Concerns about TikTok have been prevalent in other corners of the West, most prominently in Europe. In January, Zi Chew met with European Union officials over concerns about child safety and data privacy, among other matters. On Friday, TikTok’s general manager of operations in Europe, Rich Waterworth, attempted to allay some of those concerns in a blog post where he noted that the company plans to establish two additional European data centers, citing a commitment “to keeping our European community and their data safe and secure.” He added that the company is “continuing to deliver against” a data governance strategy they set out for Europe last year, which includes plans to further reduce employee access to European data, minimize data flows outside Europe and store European user data locally.

Zi Chew is slated to appear before the House Committee on Energy and Commerce on March 23, when he’s expected to comment on TikTok’s data security and user privacy policies, the app’s impact on children and ties with the Chinese Communist Party.

A member of the Senate Intelligence Committee is pushing Apple and Google to remove TikTok from their app stores because of national security concerns as the Chinese-owned company faces escalating prospects of a national ban amid bipartisan scrutiny of its data-sharing practices.
In a letter addressed to the chief executives of Apple and Alphabet, Sen. Michael Bennet, D-Colo. says TikTok’s popularity “raises the obvious risk that the Chinese Communist Party could weaponize TikTok against the United States” by forcing parent company ByteDance to “surrender Americans’ sensitive data or manipulate the content Americans receive to advance China’s interests.”

The government has increasingly been taking action against TikTok’s ties to China. In December, President Joe Biden signed a bill prohibiting the use of TikTok by nearly four million government employees on devices owned by its agencies. At least 27 state governments have passed similar measures.

There’s no evidence that the Chinese government has demanded American user data from TikTok or its parent company or influenced the content users see on the platform.

In a statement, TikTok said that the Bennet “relies almost exclusively on misleading reporting about TikTok, the data we collect, and our data security controls.” It added that the letter ignored its investment in a plan, known as Project Texas, to “provide additional assurances to our community about their data security and the integrity of the TikTok platform.”

Mirroring concerns made in a letter from a Federal Communications commissioner to Apple and Google in June, Bennett stresses TikTok’s data harvesting practices. He says its reach “allows it to amass extensive data on the American people, including device information, search and viewing history, message content, IP addresses, faceprints and voiceprints.” Unlike other tech companies that harvest similar data, he claims TikTok “poses a unique concern” because its obligated under Chinese law to cooperate with state intelligence work.

TikTok has over 100 million active users. Roughly 36 percent of Americans over 12 use the platform, spending over 80 minutes per day on the app — more than Facebook and Instagram combined. In November, TikTok confirmed that China-based employees could gain remote access to European user data. Reporting by BuzzFeed News has also revealed that company employees in China had access to US user data.

The data TikTok collects can be leveraged by the Chinese government to advance Chinese interests, according to the letter. It may be forced, for example, to tweak its algorithm to boost content that undermines U.S. democratic institutions or “muffle criticisms of CCP policy toward Hong Kong, Taiwan, or its Uighur population.”

According to Pew survey in 2022, a third of TikTok’s adult users report that they regularly access news from the app. Forbes has reported on the ability of TikTok staff to “secretly handpick videos and supercharge their distribution, using a practice known internally as heating.”

To curb criticism of its data-sharing practices, TikTok has announced a partnership with Oracle to move its data on U.S. users stored on foreign servers to Texas. The project also includes audits of its algorithms and creating a subsidiary called TikTok US Data Security to oversee content moderation policies and approve editorial decisions. U.S. employees will report to an independent board of directors.

The US Committee on Foreign Investment, which reviews business dealing that may be a threat to national sceurity, is reviewing ByteDance’s 2017 merger of TikTok and Musical.ly. It may force TikTok to sell to a US company, harkening back to when former President Donald Trump issued in 2020 an executive order demanding ByteDance to divest ownership of the app (the order was blocked by a federal court). Scrutiny of TikTok quieted when Biden took office, but the company continued to run into legal trouble over data-sharing practices. In 2021, TikTok agreed to pay $92 million to settle lawsuits alleging that the app clandestinely transferred to servers in China vast quantities of user data on children.

Anupam Chander, a professor of law and technology at Georgetown University who was briefed by TikTok about Project Texas, says the U.S. banning TikTok may “embolden other governments to do the same to apps and services from the U.S.” He adds, “It’s not clear to me that anything short of a sale will satisfy TikTok’s critics.”

TikTok’s chief executive Shou Zi Chew will appear before a House committee in March.

This article originally appeared in THR.com.

TikTok’s CEO, Shou Zi Chew, will testify in front of the House Committee on Energy and Commerce in late March in his first appearance before Congress, according to a statement from the committee’s chair, Rep. Cathy McMorris Rodgers.
The Republican representative from Washington said Chew is expected to comment on TikTok’s data security and user privacy policies, its impact on children and the company’s ties with China’s Communist Party.

The popular short-form video app and influential music discovery tool has become a lightning rod for political controversies as lawmakers on both sides have questioned the company’s handling of U.S. users’ data and whether it’s obligated to share user data with China’s ruling Communist Party. The app is owned by Chinese company ByteDance.

In an emailed statement, a TikTok spokesperson confirmed the hearing was to take place on March 23 and said they welcome the opportunity to “set the record straight about TikTok, ByteDance, and the commitments we are making to address concerns about U.S. national security.”

“We hope that by sharing details of our comprehensive plans with the full committee, Congress can take a more deliberative approach to the issues at hand,” the spokesperson said.

Congress is currently considering a bill introduced in December by Senator Marco Rubio (R-Flor.), Rep. Mike Gallagher (R-Wis.) and Rep. Raja Krishnamoorthi (D-Ill.) that would effectively ban TikTok and any other social media company headquartered in China, Russia or a handful of other countries from operating in the United States.

In addition, a number of U.S. states and large state universities have issued orders restricting access to TikTok on state-issued mobile devices and over campus internet.

In her own statement, Rodgers said that Bytedance has “knowingly allowed” the Chinese Communist Party to access U.S. users’ data, and her committee aims to ask TikTok for “complete and honest answers for people.”

“Americans deserve to know how these actions impact their privacy and data security, as well as what actions TikTok is taking to keep our kids safe from online and offline harms,” Rodgers said.

A TikTok spokesperson refuted Rodgers’ statement.

“There is no truth to Rep. McMorris Rodgers’ claim that TikTok has made U.S. user data available to the Chinese Communist Party. The Chinese Communist Party has neither direct nor indirect control of ByteDance or TikTok,” the spokesperson said. “Moreover, under the proposal we have devised with our country’s top national security agencies through CFIUS, that kind of data sharing—or any other form of foreign influence over the TikTok platform in the United States—would not be possible.”

FBI Director Chris Wray is raising national security concerns about TikTok, warning Friday that control of the popular video sharing app is in the hands of a Chinese government “that doesn’t share our values.”

Wray said the FBI was concerned that the Chinese had the ability to control the app’s recommendation algorithm, “which allows them to manipulate content, and if they want to, to use it for influence operations.” He also asserted that China could use the app to collect data on its users that could be used for traditional espionage operations.

“All of these things are in the hands of a government that doesn’t share our values, and that has a mission that’s very much at odds with what’s in the best interests of the United States. That should concern us,” Wray told an audience at the University of Michigan’s Gerald R. Ford School of Public Policy.

Those concerns are similar to ones he raised during congressional appearances last month when the issue came up. And they’re being voiced during ongoing dialogue in Washington about the app.

Concerned about China’s influence over TikTok, the Trump administration in 2020 threatened to ban the app within the U.S. and pressured ByteDance to sell TikTok to a U.S. company. U.S. officials and the company are now in talks over a possible agreement that would resolve American security concerns, a process that Wray said was taking place across U.S. government agencies.

“As Director Wray has previously said, the FBI’s input is being considered as part of our ongoing negotiations with the U.S. Government,” TikTok spokesperson Brooke Oberwetter said in an emailed statement. “While we can’t comment on the specifics of those confidential discussions, we are confident that we are on a path to fully satisfy all reasonable U.S. national security concerns and have already made significant strides toward implementing those solutions.”

TikTok is owned by Beijing-based ByteDance. The TikTok statement Friday noted that ByteDance is a private company and that “TikTok Inc., which offers the TikTok service in the United States, is a U.S. company bound by U.S. laws.”

At a Senate hearing in September, TikTok Chief Operating Officer Vanessa Pappas responded to questions from members of both parties by saying that the company protects all data from American users and that Chinese government officials have no access to it.

“We will never share data, period,” Pappas said.