Indonesia has reportedly suspended TikTok's registration status as an electronic system provider over allegedly failing to fully share data related to live streaming activities, particularly during recent nationwide protests.
The move comes after protests over economic hardship, corruption and police brutality took place in Indonesia in recent months.
According to a Reuters report, Indonesian communications and digital minister Alexander Sabar said TikTok did not provide complete data on traffic, streaming and monetisation of its live feature, which was used by citizens during the days of the protests.
Some accounts were reportedly linked to online gambling, monetising the TikTok's live streaming during the protests, according to Reuters.
The report said Sabar requested this data for monitoring purposes, citing regulations that require access to data for authorised platforms.
TikTok responded that it would not comply due to internal policies, prompting the ministry to temporarily suspend its electronic systems operator licence.
The company, owned by China's ByteDance, provided only partial data, Sabar said.
Indonesian law stipulates that every company complying with Indonesian licensing regulation must submit its data to the government for supervision purposes, under penalty of being blocked.
“So the communications and digital ministry deemed TikTok to have violated its obligations as a private electronic provider, and suspended its registration,” Sabar told Reuters.
Despite the suspension, TikTok, which has over 100 million accounts based in Indonesia, remains accessible to Indonesia as of Friday, and the company said it is working with authorities to resolve the issue, Reuters added.
In the meantime, TikTok’s future in the US has been secured following an agreement between the US and China that will see a consortium of American investors, led by Oracle, Silver Lake, and Andreessen Horowitz, take control of the app’s US operations.
The deal, which is expected to close by early November, will transfer TikTok’s American assets from Chinese parent company ByteDance to a new US-based entity.
The new entity will be governed by an American-dominated board, with one member designated by the US government.
Existing US users will be asked to migrate to a new app, which TikTok has already developed and is currently testing.
The app will use recommendation algorithms licensed from ByteDance but will operate on a separate data system from the global version.
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