TikTok Withdraws Controversial Rewards Feature Amid EU Investigation

TikTok has agreed to revoke a rewards feature following the EU's investigation under the Digital Services Act. The feature raised concerns about encouraging excessive screen time among children. The withdrawal was made legally binding and reflects the EU's emphasis on ensuring user safety and accountability online.

TikTok has agreed to withdraw a contentious rewards feature following concerns that it might encourage excessive screen time among children, according to a statement by the European Union's executive commission on Monday.

This marks the first resolution under the EU's comprehensive Digital Services Act, which became effective in February, aiming to regulate large digital platforms to create a safer online environment.

Despite agreeing to remove the feature, TikTok did not concede that it violated the Act. However, the EU commission has ruled that the withdrawal is legally binding, sending a strong message to the entire social media industry. The case specifically regarded TikTok Lite, used in Spain and France.

(With inputs from agencies.)