The European Commission, the executive arm of the European Union, said on Friday that it had preliminarily found both TikTok and Meta in breach of its transparency rules.

It accused the U.S. tech giants of breaching their obligation to give researchers “adequate access” to public data under the Digital Services Act (DSA) — the EU’s landmark tech legislation.

“The Commission also preliminarily found Meta, for both Instagram and Facebook, in breach of its obligations to provide users simple mechanisms to notify illegal content, as well as to allow them to effectively challenge content moderation decisions,” it added in a statement.

The Digital Services Act is among a handful of EU legislation designed to keep the power of Big Tech in check. The Commission has also opened numerous investigations under another landmark law known as the Digital Markets Act.

“We disagree with any suggestion that we have breached the DSA, and we continue to negotiate with the European Commission on these matters,” Meta spokesperson Ben Walters said in a statement.

“In the European Union, we have introduced changes to our content reporting options, appeals process, and data access tools since the DSA came into force and are confident that these solutions match what is required under the law in the EU,” he added.

A TikTok spokesperson told CNBC in a statement that it “is committed to transparency and values the contribution of researchers” to its platform and social media industry as a whole.

“We have made substantial investments in data sharing and almost 1000 research teams have been given access to data through our Research Tools to date,” the spokesperson said.

“We are reviewing the European Commission’s findings, but requirements to ease data safeguards place the DSA and GDPR in direct tension. If it is not possible to fully comply with both, we urge regulators to provide clarity on how these obligations should be reconciled,” they added.

The EU says researchers should have access to social media platforms’ data, as this enables the public to scrutinize any potential physical or mental health impacts of the technology.

The Commission said in its preliminary findings that Facebook, Instagram and TikTok “may have put in place burdensome procedures and tools for researchers to request access to public data. This often leaves them with partial or unreliable data, impacting their ability to conduct research, such as whether users, including minors, are exposed to illegal or harmful content.”

The tech companies are now invited by the Commission to examine its findings and reply in writing.

If the Commission’s preliminary findings are upheld, it has the power to issue a non-compliance decision which could carry with it a fine of up to 6% of the total worldwide annual turnover — a hefty amount for Meta and TikTok owner ByteDance.

Meta also faced a 200 million euros ($228.4 million) fine under the Digital Markets Act in April, as the Commission flexed its new competition powers for the first time. The fine was related to how users consented to data collection.

Meanwhile, TikTok’s transfer of data to China also resulted in it being handed a 530 million euros fine by the protection authority in Ireland earlier this year.

— CNBC’s Arjun Kharpal contributed to this report.

China on Thursday concluded its “Fourth Plenum,” a meeting aimed at setting out the country’s development agenda for the next five years. Beijing will focus on domestic consumption, self-reliance in technology as well as the agricultural and manufacturing sectors.

In the U.S. economy and markets — generally considered the exemplar of free-market capitalism — the government’s handprints have started becoming visible, if you squint a little.

Trump, who terminated trade negotiations with Canada over an ad, pardoned Binance founder Changpeng Zhao, the White House said Thursday. Zhao was convicted in April 2024 for enabling money laundering at Binance.

The Wall Street Journal reported in August that the Trump family’s crypto venture has been helped by “a partnership with an under-the-radar trading platform quietly administered by Binance.”

Even corporate earnings had the mark of the White House.

Intel reported third-quarter revenue that surpassed analysts’ expectations, helping the stock jump 7.7% in extended trading.

But it’s hard to ignore the elephant in the room, that is, the U.S. government’s 10% stake in the company, acquired in August. The company’s stock has seen a massive surge since that acquisition, with President Donald Trump saying the government has made $30 billion to $40 billion on its stake. The transaction, however, complicates Intel’s accounting practices for its income, the company suggested in a press release.

Trump’s proclivity for acquiring stakes in U.S. companies and his other dealings that seem to blur the personal with the professional raise the question: are we seeing a four-year U.S. economic plan — with a twist — unfold?

Trump terminates trade talks with Canada. The U.S. president appeared to take umbrage with an ad, aired by Ontario provincial government, featuring Ronald Reagan criticizing tariffs. Trump also accused Canada of attempting to influence the U.S. Supreme Court’s case regarding tariffs.

Trump pardons Binance founder Changpeng Zhao. The move came two months after The Wall Street Journal reported on the Trump family’s crypto venture, which appeared to have links with a trading platform “administered by Binance.”

China softens rhetoric ahead of Trump-Xi meeting. Chinese Commerce Minister Wang Wentao on Friday said that both countries can “find the right path for getting along,” in comments translated by CNBC. The White House said Trump will meet Xi at the APEC summit next Thursday.

U.S. stocks advanced Thursday. The Nasdaq Composite outperformed, thanks to tech stocks. Asia-Pacific stocks rose Friday. South Korea’s Kospi hit another record, while Japan’s Nikkei 225 climbed amid data showing the country’s core inflation rose in September, as expected.

[PRO] Time to consider dividend stocks, CIO says. As interest rates come down, in accordance with market expectations, such stocks should get a boost, according to Kevin Simpson, founder and chief investment officer at Capital Wealth Planning.

China on Thursday concluded its “Fourth Plenum,” a meeting aimed at setting out the country’s development agenda for the next five years. Beijing will focus on domestic consumption, self-reliance in technology as well as the agricultural and manufacturing sectors.

In the U.S. economy and markets — generally considered the exemplar of free-market capitalism — the government’s fingerprints have started becoming visible, if you squint a little.

For instance, Intel reported third-quarter revenue that surpassed analysts’ expectations, helping the stock jump 7.7% in extended trading. Intel said demand for its processors appears to be recovering.

But it’s hard to ignore the elephant in the room, that is, the U.S. government’s 10% stake in the company, acquired in August. The company’s stock has seen a massive surge since that acquisition, with President Donald Trump saying the government has made $30 billion to $40 billion on its stake. The transaction, however, complicates Intel’s accounting practices for its income, the company suggested in a press release.

Trump, meanwhile, pardoned Binance founder Changpeng Zhao, the White House said Thursday. Zhao was convicted in April 2024 for enabling money laundering at Binance.

When asked why Trump pardoned Zhao, the president said, “A lot of people say that he wasn’t guilty of anything. And so I gave him a pardon at the request of a lot of very good people.”

The Wall Street Journal reported in August that the Trump family’s crypto venture has been helped by “a partnership with an under-the-radar trading platform quietly administered by Binance.”

Trump’s proclivity for acquiring stakes in U.S. companies and his other dealings raise the question: are we seeing a four-year U.S. economic plan — with a twist — unfold?

Intel beats revenue expectations. Third-quarter sales came in at $13.65 billion, higher than the $13.14 billion from an LSEG consensus estimate. Intel added that demand for its chips outstripped supply.

Trump pardons Binance founder Changpeng Zhao. The move came two months after The Wall Street Journal reported on the Trump family’s crypto venture, which appeared to have links with a trading platform “administered by Binance.”

China to encourage consumption over the next five years. Top government leaders emphasized the need to “vigorously boost consumption” in the domestic economy, a readout of China’s “Fourth Plenum” meeting said, according to a CNBC translation.

The S&P 500 claws back losses. The index rose 0.58% on Thursday, recovering from Wednesday’s fall. The Stoxx Europe 600 added 0.37%, with shares of Kering popping 8.7% after the luxury conglomerate beat revenue expectations.

[PRO] Time to consider dividend stocks, CIO says. As interest rates come down, in accordance with market expectations, such stocks should get a boost, according to Kevin Simpson, founder and chief investment officer at Capital Wealth Planning.

Stony silence from Moscow after Trump turns on Russia, says talks with Putin ‘don’t go anywhere’

Just days after a “very productive” phone call between U.S. President Donald Trump and his Russian counterpart Vladimir Putin, Trump changed tack on Wednesday, voicing his frustration with Moscow. “We canceled the meeting with President Putin. It just, it didn’t feel right to meet,” he said Wednesday.

Trump’s comments on Putin were not highlighted by pro-Kremlin state media outlets such as TASS, Radio Sputnik and RIA Novosti on Thursday, with barely a mention of the criticism or the canceled meeting.

— Holly Ellyatt