China Rejects Western Control, Reveals Unexpected Facts
The European Union’s Digital Markets Act (DMA) has sparked outrage among global tech giants. Even relations between the EU and the United States have heated up, as the rules also target prominent companies from Uncle Sam’s country.
Fundamentally, the DMA aims to ensure a fair competitive climate, prevent monopolistic practices by large companies, and provide consumers with more diverse options in choosing digital platforms.
Within the DMA rules, there is the term ‘gatekeeper’, referring to platform providers with more than 45 million monthly users. It is these companies listed as ‘gatekeepers’ that are the primary targets of the DMA.
The DMA imposes stringent requirements on ‘gatekeepers’ to continue operating in the European Union. The goal is to curb the dominant power of large tech companies, with fines for violations amounting to 10% of the company’s annual turnover.
TikTok, a subsidiary of China’s ByteDance, has been categorised as a ‘gatekeeper’ under the DMA since September 2023. TikTok joins other companies such as Google, Meta Platforms, Apple, Amazon, Microsoft, and Booking.
TikTok has not remained silent regarding its ‘gatekeeper’ status designated by the European Union. The company has filed a lawsuit to cancel this status. However, in 2024, a lower court rejected the lawsuit.
Reasons TikTok Rejects Gatekeeper Label
Undeterred, TikTok has appealed to the higher court. TikTok argues that the court has erred in its decision. The social media giant states that its platform fails to meet all three criteria for ‘gatekeeper’ status.
The three criteria refer to significant market impact, acting as a primary business gateway for users, and holding an established market position.
‘ByteDance has shown not only that its market capitalisation largely derives from its business in Asia, but also that it has no ties to Europe, faces different competitive dynamics, and operates in a different regulatory, linguistic, and cultural environment,’ said TikTok’s lawyer, Bill Batchelor, at Europe’s highest court, quoted from Reuters on Wednesday (13/5/2026).
He told the panel of 15 judges that 70%-80% of TikTok users use several other platforms in parallel, including Meta Platforms’ Facebook and Instagram, Snap, and X. This indicates that users are not locked into the TikTok ecosystem.
‘We call this ’multihoming’. It means businesses can reach the same end-users through several other platforms,’ said Batchelor.
A lawyer for the European Commission, Mislav Mataija, rejected TikTok’s arguments.
‘Lock-in can occur even when there is some degree of multihoming. For example, there may be certain groups of users who rely on TikTok,’ said Mataija in court.
The court will deliver its ruling in the coming months. Meta Platforms is also challenging its designation as a ‘gatekeeper’ for Messenger and Marketplace.