The Chicago Journal

Social media faces more regulations in 2023

Image source: Tech.co

Social media: The bipartisan spending bill passed by Congress last week essentially forbade the installation of TikTok on devices used by the government.

This year, advocates and legislators revealed proposals for tighter regulation of social media companies as 2023 kicks into gear.

TikTok

The video-sharing app, which receives more than 1 billion monthly users, is owned by the Chinese corporation ByteDance.

Christopher Wray, the director of the FBI, and lawmakers have publicly stated their positions on TikTik’s ownership structure.

They claimed that the structure exposes information about US users.

In addition, Chinese-based businesses are compelled by law to provide the government with user information on request.

The concern

The National Intelligence Law of 2017 and the Counter-Espionage Law of 2014 are the two Chinese laws that have alarmed the US government since 2019.

According to the Counter-Espionage law, businesses and individuals “may not refuse” to divulge information when the state security agency conducts an espionage investigation and discovers crucial information.

Organizations or people are expected to support, help, and cooperate with governmental intelligence initiatives, as stated in Article 7 of the Intelligence Law.

The state also protects those who assist them.

Response

Despite TikTok’s repeated assurances that US user data is not kept in China, little has changed from their comments.

TikTok has been compared to “digital fentanyl” by Wisconsin Republican Rep. Mike Gallagher.

Additionally, he thinks that the software has to be banned outright nationwide.

“It’s highly addictive and destructive,” said Gallagher.

“We’re seeing troubling data about the corrosive impact of constant social media use, particularly on young men and women here in America.”

Read also: Migrants delivered to Kamala Harris on Christmas

Social media regulation

Twitter, YouTube, and other social networking sites, like TikTok, use the same algorithms, claims Facebook whistleblower Frances Haugen.

She thinks that increasing the transparency of their operations should be the regulators’ first move.

According to Haugen, the majority of people are unaware of the US’s gap in social media regulation compared to other countries.

“This is like we’re back in 1965,” said Haugen. “We don’t have seatbelt laws yet.”

Tech bills in 2022

Congress failed to pass some of the most radical elements of technology-related legislation the year before.

Antitrust law and a bill aimed at protecting children were among the legislations that were vetoed.

Antitrust legislation

Early in 2022, lawmakers created a bill that specifically targeted Apple’s and Google’s app stores for mobile devices.

The legislation also placed limitations on developers.

The American Innovation and Choice Online Act was advanced, which has some of the same objectives.

The Act forbids larger companies from unfairly treating or preferring their own products over those of competitors.

The plan states that developers would not be required to use the platform’s payment method for distribution if the app store had more than 50 million US users.

Additionally, app developers cannot be punished for selling their products elsewhere for a lower price.

Kids Online Safety Act

In November, bipartisan legislation was launched by Senators Marsha Blackburn and Richard Blumenthal to put regulations on websites that children 16 and younger can view.

The proposed law would compel platforms to restrict content that could cause minor users bodily injury or psychological trauma, including the following:

  • Self-harm/suicide
  • Encouragement of addictive behavior
  • Enabling online bullying
  • Predatory marketing

Additionally, websites have to follow the law’s requirements regarding connection restrictions and default privacy settings.

Even after the legislation underwent changes, several organizations still opposed it.

Read also: Sherrod Brown looking to have cryptocurrency banned in the US

Change

There is still a patchwork of state rules dictating how to maintain customer data, even though Congress made significant progress toward a consensus measure on national privacy standards in 2022.

Many of the bills that have reached the Senate floor enjoy bipartisan support, according to Senator Amy Klobuchar.

However, she cautioned that the tremendous influence of the tech industry might cause huge bipartisan support to collapse over the next 24 hours.

According to Klobuchar, the American people won’t demand social media company reform until they declare that “enough is enough.”

“We are lagging behind,” said Klobuchar.

“It is time for 2023, let it be our resolution, that we finally pass one of these bills.”

References:

More social media regulation is coming in 2023, members of Congress say

Huawei says it would never hand data to China’s government. Experts say it wouldn’t have a choice

Senate committee advances bill targeting Google and Apple’s app store profitability

Kids Online Safety Act may harm minors, civil society groups warn lawmakers

TikTok ban might be pushed back due to its popularity

Image source: The Pay at Home Parent

TikTok: Over the past few years, the video-sharing app has drawn a lot of attention, and a ban looks inevitable.

Security problems have plagued TikTok consistently from the former President Donald Trump’s administration.

However, the business has endured the Trump term.

Since then, it has gained popularity, becoming the most downloaded app in the US between 2020 and 2022.

If the ban were to go into effect, it would have an effect on numerous business owners who were successful on TikTok.

The future of TikTok

In 2020, there were over 100 million users of the video-sharing app.

Over the following years, TikTok’s influence on American culture, influencers’ lives, and business owners’ lives grew.

During that time, Republican governors had started to be cautious of the app.

They recently ruled that state employees are not allowed to install TikTok on devices that belong to the government.

While this was going on, an FCC panel with a Republican majority pressed Apple and Google to take more severe action against TikTok.

A bill to ban the app in the US was introduced by Sen. Marco Rubio and two other US lawmakers.

A thorough investigation into TikTok’s and other social media platforms’ effects on younger users is currently ongoing as the political witch-hunt continues.

On whether the content on TikTok is appropriate for teenage viewers, there are differences of opinions.

Since the TikTok algorithm could lead to the uploading of potentially harmful content, worries concerning it are also frequently voiced.

Criticism

Washington has criticized TikTok because of its parent company’s connections to China.

The concerns grew after a Buzzfeed News report this year revealed that some US user data had been accessed from China.

According to a worker cited in the article, China could see everything.

While this was going on, TikTok acknowledged that some Chinese employees had access to user data from the US.

Read also: Caroline Ellison and SBF responsible for FTX collapse

Negotiations

Negotiations between the video-sharing app and the Committee on Foreign Investment in the United States (CFIUS) date back a few years.

They have been working to reach a compromise that would meet national security concerns while still enabling the app to run.

However, there have been reports of negotiation delays.

According to national security experts, TikTok’s popularity just makes it more challenging to ban the program.

The effectiveness of a ban on TikTok has been questioned by some of its critics.

A bill written by Senator Josh Hawley forbids TikTok from being used on US government devices.

He said last week that he would be okay with a deal between TikTok and the US government that safeguards user data.

“But if they don’t do that then I think we’re going to have to look at more stringent measures,” said Hawley.

The community

Even as lawmakers have stepped up their calls for stricter rules on the app, TikTok users have been developing a sense of community.

The video-sharing app has become a source of income for many people.

Through TikTok, the following were made possible:

  • Culinary habits
  • Fashion and beauty trends
  • Reviving old music
  • Popularizing new songs

Additionally, US politicians have promoted their campaigns for the midterm elections using TikTok.

The renowned news organization Associated Press, which has been around for 176 years, just joined the app in an effort to reach new audiences.

“So many people, myself included, are always on TikTok,” said user Kahlil Greene.

“That’s where we get our entertainment from, our news from, our musical taste from, our social inside jokes we make with friends come from memes that started on TikTok.”

Green has amassed more than 580,000 followers as a result of his documentation of social and cultural issues, as the “Gen Z historian.”

The Biden administration ultimately took notice of his popularity and invited him to a White House press briefing about the Russian invasion of Ukraine.

“So much of our culture and lives are driven by TikTok,” Greene added.

“Now that it’s not just something you can rip away easily.”

Popularity

TikTok is unquestionably one of the most popular social networking services in the US.

The company, which is owned by Beijing-based ByteDance, is dedicated to moving user data to Oracle’s cloud platform.

Significant modifications are also being made to isolate US user data from that of other business sectors.

Weeks earlier, TikTok declared it will restructure its US-focused legal, policy, and content moderation teams in collaboration with a special internal committee led by US-based authorities.

In response to the bill, a TikTok spokesperson said:

“It’s troubling that rather than encouraging the Administration to conclude its national security review of TikTok, some members of Congress have decided to push for a politically-motivated ban that will do nothing to advance the national security of the United States.”

“We will continue to brief members of Congress on the plans that have been developed under the oversight of our country’s top national security agencies – plans that we are well underway in implementing – to further secure our platform in the United States.”

In addition, the spokesperson highlighted TikTok’s popularity by saying:

“TikTok is loved by millions of Americans who use the platform to learn, grow their businesses, and connect with creative content that brings them joy.”

Read also: The Federal Reserve influences 2022 stock market, Thursday market movement

Other notes

While other tech companies have been dismissing employees, TikTok has continued to hire staff, particularly American engineers.

Recent job listings suggest that the business may be attempting to build its own domestic warehouse network in an effort to overtake Amazon as the top online retailer.

TikTok’s enormous popularity poses issues for the federal government, according to Rick Sofield, a partner at Vinson & Elkins LLP who specializes in export restrictions, national security reviews, and economic penalties.

“I think their minds are made up that ByteDance owning is a national security concern,” said Sofield.

“The reason that we’ve been hung up is it’s too big to fail, and they’re trying to figure out a soft landing.”

“There’s a whole lot of things I think that would have to happen first, before there’s a ban.”

Reference:

TikTok might be too big to ban, no matter what lawmakers say

TikTok receives ban on government devices

Image source: NY Times

TikTok: It’s a new step that the bipartisan spending agreement will forbid TikTok from being utilized on equipment used by the government.

On Friday, the legislation was approved by both Houses of Congress.

The decision highlights the growing anxiety surrounding the popular video-sharing app, which is owned by the Chinese corporation ByteDance.

The bill

President Joe Biden has not yet given his approval to the bipartisan spending plan.

It urges e-commerce retailers to conduct more research to halt the sale of counterfeit goods online.

The measure also increases the filing fees for companies seeking to merge with federal antitrust regulators.

However, Congress was unable to pass a number of strict measures aimed at the tech industry, including:

  • Antitrust legislation that requires Apple and Google app stores to give developers more payment options
  • A measure mandating new guardrails to protect children online

In spite of progress made by Congress in 2022 toward a compromise measure on national privacy standards, a patchwork of state laws continue to govern the protection of consumer data.

Reaction to the bill

The Chamber of Progress, a center-left-leaning organization in the tech sector, praised the rejection of many antitrust bills that would have targeted its donors which included:

  • Amazon
  • Apple
  • Google
  • Meta

Following the presentation of the package, Adam Kovacevich, CEO of the Chamber of Progress, made the following official statement:

“What you don’t see in this year’s omnibus are the more controversial measures that have raised red flags on issues like content moderation.”

The company has previously expressed worries about the American Innovation and Choice Online Act, a well-known antitrust statute.

NetChoice, another tech organization, praised Congress for refusing to include unrestrained extremist progressive ideas to alter American antitrust law.

However, the legislation that was enacted by lawmakers as part of the budget package would have an impact on the industry in a number of different ways.

Read also: Sam Bankman-Fried to receive bail for $250 million

TikTok ban

The removal of TikTok from devices provided by the government may have an influence on rival platforms like Snap, Facebook, and Instagram that are fighting for the attention of younger users.

Exemptions from the law are also provided for research, national security, and law enforcement purposes.

Lawmakers and FBI Director Christopher Wray are concerned that TikTok’s ownership structure may expose US user data to Chinese firms that may be required by law to turn over user information.

Although TikTok has often stated that the information it gathers from US users is not kept in China, these assertions have had little impact.

The company has been attempting to come to an agreement with the government through the US Committee on Foreign Investment to allay worries about national security.

A spokesperson for TikTok released the following statement after the announcement:

“We’re disappointed that Congress has moved to ban TikTok on government devices – a political gesture that will do nothing to advance national security interests – rather than encouraging the Administration to conclude its national security review.”

“The agreement under review by CFIUS will meaningfully address any security concerns that have been raised at both the federal and state level.”

“These plans have been developed under the oversight of our country’s top national security agencies – plans that we are well underway in implementing – to further secure our platform in the United States, and we will continue to brief lawmakers on them.”

Mergers

Even though other antitrust measures targeting digital platforms were not included in the end-of-year legislation, a bill that helps raise funds for the antitrust institutions that investigate mergers did.

The Merger Filing Fee Modernization Act raises the filing fee that companies pursuing significant mergers must pay to the antitrust agencies in order to comply with the law’s requirements.

Additionally, the bill lowers the cost of smaller fees and allows for yearly charge adjustments in accordance with the CPI.

The measure’s targeted beneficiaries are the Federal Trade Commission and the Department of Justice Antitrust Division.

Both have seen a large increase in merger filings over the past few years without adequate budget increases.

Despite falling short of antitrust groups’ hopes, the measure incorporating the merger filing fee was praised.

According to Sarah Miller, executive director of the American Economic Liberties Project, the bill would strengthen antitrust law for the first time since 1976.

“This is a major milestone for the anti-monopoly movement,” said Miller.

“Big Tech, Big Ag, and Big Pharma spent extraordinary sums in an unprecedented effort to keep Congress from delivering on antitrust reform and undermine the ability of state and federal enforcers to uphold the law – and they lost.”

The bill’s proponent, Sen. Amy Klobuchar of Minnesota, claimed that updating merger fees after decades is vital to provide antitrust enforcers with the resources they require to carry out their duties.

“This is clearly the beginning of this fight and not the end,” she said.

“I will continue to work across the aisle to protect consumers and strengthen competition.”

Read also: Twitter and Elon Musk sued by former workers

Tech impact on children

The bill contains the Children and Media Research Advancement (CAMRA) Act.

It authorizes the Department of Health and Human Services to do research on how media and technology affect young children, teenagers, and infants.

According to the law, the following technological advancements may have an effect on physical, mental, and cognitive health:

  • Social media
  • Artificial intelligence
  • Video games
  • Virtual reality

The director of the National Institutes of Health must provide a report to Congress on the organization’s operations within two years of the law’s adoption.

Reference:

TikTok banned on government devices under spending bill passed by Congress

TikTok a security concern according to FBI

Image source: VPN Overview

TikTok: FBI Director Chris Wray has warned people about the popular short video-sharing app and national security concerns.

Wray reminded people that TikTok, a Chinese-owned company, is run by a government that doesn’t share the same values as the United States.

The news

On Friday, Chris Wray raised nationwide concerns about the app.

He revealed that the FBI is concerned with the Chinese control of the app’s recommendation algorithm.

Having control allows the Chinese to manipulate the content and use it to influence operations.

Additionally, Wray says China may use TikTok to harvest user data for traditional espionage operations.

Statements

Chris Wray’s warning came at the Gerald R. Ford School of Public Policy at the University of Michigan last week.

“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,” Wray told audiences.

“That should concern us.”

Moreover, the concerns expressed by the FBI director are similar to those raised during his congressional appearances in November.

Finally, Wray shared that it is part of an ongoing conversation in Washington.

Read also: TikTok one of the few tech companies to continue hiring

Concerns

The Trump administration previously threatened to ban TikTok in 2020 due to concerns about China’s influence.

Additionally, the administration pressured ByteDance to sell the app to a company in the United States.

Finally, US officials and TikTok are in talks for a deal to resolve the US security woes.

According to Wray, the process is taking place across US government agencies.

Negotiation

Brooke Overwetter, a TikTok spokeswoman, released a statement via email saying:

“As Director Wray has previously said, the FBI’s input is being considered as part of our ongoing negotiations with the US Government.”

“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 US national security concerns and have already made significant strides toward implementing those solutions.”

Read also: Billy McFarland creates another “big” music festival

The company

Beijing-based ByteDance owns TikTok.

The statement from Friday said it was a private company.

It is also a reminder that TikTok is an American company bound by American laws.

During a Senate hearing in September, TikTok COO Vanessa Pappas answered questions from both sides.

She concluded that the company protects all US user data, noting that Chinese government officials do not have access to it.

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

Reference:

FBI director raises national concerns about TikTok

TikTok one of the few tech companies to continue hiring

Image source: Tech in Asia

TikTok is one of the few companies going in the opposite direction in the tech industry, continuing to hire in a bleak economy.

Meanwhile, most of Silicon Valley announced it would freeze hiring and cut its staff.

Hiring

An anonymous source confirmed Monday that the short-video app company is moving forward with its hiring process.

TikTok is committed to its goal of hiring more than 1,000 engineers at its Mountain View office in California.

Additionally, the hiring decision hints at the company’s goal of ensuring that a US-based team verifies user data in the United States.

Furthermore, the company’s goal comes after a Washington investigation into parent company ByteDance’s ties to China.

News of TikTok’s hiring first emerged from the media outlet The Information.

Read also: Penguin Random House merge with Paramount dropped

Corporate

Shou Zi Chew, the CEO of TikTok, confirmed the company was still hiring.

He shared the announcement last week at the Bloomberg New Economy Forum in Singapore.

Chew also addressed other tech companies like Meta and Amazon, saying:

“We have always been more cautious in terms of recruitment,” said Chew.

“At this stage of our growth, I think that our pace, our cadence, of hiring is just right for us.”

The industry

Over the past few weeks, several companies have announced layoffs and downsizing.

Currently, Meta is cutting 11,000 jobs from the company, Elon Musk is laying off half of Twitter’s workforce, and Amazon confirms mass layoffs have begun.

Current and former corporate executives admit their companies grew too quickly during the pandemic.

At the time, consumers in isolation shifted their lives to go online.

However, businesses are now facing massive demand that is shedding thousands of jobs as the economy declines and a recession looms.

Read also: Alex Jones remains unwelcome on Twitter

TikTok

The shift in the Silicon Valley hiring landscape is currently in favor of the short-form video app.

However, TikTok is trying to satisfy its critics and strengthen its position in the US by expanding into new product categories.

The company’s career portal website currently offers more than 4,000 global positions, but we need to clarify how often they update their recruiting page.

Last month, TikTok made headlines for listing new ecommerce-related features that indicated it was looking to build a storage and logistics network in the US.

“We are still hiring,” said Chew last week.

“Although, you know, at a pace that we think corresponds with the global challenges that we’re facing.”

Reference:

As Meta and Twitter slash staff, TikTok plans to keep hiring