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TikTok will invest €1 billion to build a second data centre in Finland, expanding its efforts to store European user data within the region and strengthen data protection measures. The new facility, planned in Lahti, will begin with a capacity of 50 megawatts and could expand to 128 MW, forming part of the company’s broader €12 billion European data sovereignty initiative covering more than 200 million users.

Finland has emerged as a preferred destination for data centres due to its cool climate, low-cost and low-carbon energy supply, and stable regulatory environment. Major technology firms have increasingly chosen the country to reduce energy costs and meet sustainability goals while supporting growing digital infrastructure needs across Europe.

However, TikTok’s expansion continues to face scrutiny over data security and transparency concerns linked to its Chinese parent company, ByteDance. Despite earlier political criticism surrounding its first Finnish data centre, local authorities have welcomed the new investment, highlighting its economic significance and expected completion timeline, with operations targeted for 2027.

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ByteDance’s TikTok has agreed to permanently discontinue its TikTok Lite rewards program in the EU to comply with the bloc’s Digital Services Act (DSA), according to a statement from the European Commission on Monday.

The TikTok Lite app includes a “Reward Programme” that allows users to accumulate points by completing various tasks on the platform, such as watching videos, liking content, following creators, or inviting friends to join.

In April, the EU requested an immediate risk assessment from TikTok following the app’s launch in France and Spain, citing concerns about its potential effects on children and users’ mental health.

Under the DSA, major online platforms are required to report potential risks associated with new features to the EU prior to their launch and must implement effective measures to mitigate these risks.

The EU’s executive branch noted that TikTok has made legally binding commitments to withdraw the rewards program from the EU and not to introduce any alternative programs that could circumvent this decision. Any violation of these commitments would constitute a breach of the DSA and could result in fines, the commission stated.

Additionally, an ongoing investigation is looking into whether TikTok has violated online content regulations designed to protect children and ensure transparent advertising. This investigation began in February and could expose the platform to significant fines.

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