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EUR12B to be invested by TikTok in Europe

ANN/CHINA DAILY – TikTok’s major data centre in Europe is currently being built in Hamar, Norway.

The short-video platform, operated by Chinese tech giant ByteDance, revealed intentions to invest over EUR12 billion (USD 13.1 billion) in Europe within the next decade.

The substantial investment aims to store European user data on local servers, aligning with local regulations and alleviating concerns related to data security, according to experts.

TikTok logo is seen on a mobile phone. PHOTO: AFP

They added that Chinese internet and tech companies making forays into overseas markets should attach great importance to guaranteeing the security of user privacy and strive to mitigate the potential risks related to cross-border data transmission.

The programme called Project Clover will cover the cost of building three data centres, the implementation of privacy enhancing technologies and employment of an independent third-party security company – NCC Group – to audit and verify data controls and protections, as well as monitor data flows, TikTok said in a statement on its official website.

TikTok also revealed plans for its second data centre in Ireland and the third in the Hamar region of Norway.

Last year, the company established its first European data cente in Dublin, Ireland, where the migration of European user data commenced in September. TikTok expects this process to be completed by the end of 2024.

The first phase of its Norwegian data centre will start the installation of servers and gradually transfer European users’ data from next summer, it added.

Currently, TikTok has over 150 million users across Europe and has gained wide popularity among the younger generation worldwide.

Assistant dean of the China Center for Internet Economy Research at the Central University of Finance and Economics Ouyang Rihui said TikTok’s intensified efforts to establish European data centres and store user data locally indicate that the company pays close attention to data and personal information security, and is willing to provide more reliable privacy protection for European users.

“As governments around the world become increasingly aware of the tremendous amount of user data that big tech companies have been collecting and storing in recent years, the relevant laws and regulations on personal privacy information protection and data security are becoming more stringent,” he said.

Ouyang added TikTok’s latest measures aimed at ensuring user data security in Europe will help it better conform to local regulatory requirements and improve compliance with the European Union’s General Data Protection Regulation, a data protection and privacy law commonly known as the GDPR.

The GDPR, which took effect in May 2018, ensures that personal data can only be gathered under strict conditions and for legitimate purposes, and forces companies to make sure the way they collect, process and store data is safe.

The fast-growing social media app is also facing multiple fronts of pressure from the United States (US) government, including a potential ban or divestiture of its business in the country.

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