The state of Arkansas sued TikTok and Facebook parent Meta on Tuesday, claiming the social media companies were misleading consumers about the safety of children on their platforms and protections of users' private data.
The state filed two lawsuits against TikTok and its Chinese parent company ByteDance and a third lawsuit against Meta, which also owns Instagram, accusing the companies of violating the state's deceptive trade practices act.
“TikTok is a wolf in sheep's clothing,” one of the lawsuits, filed in state court, said. “As long as TikTok is permitted to deceive and mislead Arkansas consumers about the risks to their data, those consumers and their privacy are easy prey.”
Gov. Sarah Huckabee Sanders and Attorney General Tim Griffin, both Republicans, announced the lawsuit as TikTok faces growing questions about the safety of its users' data. Both the FBI and officials at the Federal Communications Commission have warned that ByteDance could share TikTok user data with China's authoritarian government.
One of Sanders' first moves after she was sworn in as Arkansas' governor in January was to sign an executive order banning TikTok from state devices.
One of the lawsuits claims that TikTok isn't taking proper steps to protect minors who use the platform from inappropriate content, including sexual content and material depicting drug or alcohol use. TikTok did not immediately respond to an email requesting comment Tuesday.
“We have watched over the past decade as one social media company after another has exploited our kids for profit and escaped government oversight,” Sanders said in a statement released by her office. "My administration will not tolerate that failed status quo.”
The lawsuit against Meta accuses the company of manipulating Facebook to maximize the amount of time that young people spend on the platform, which it says has helped fuel mental health problems among the state's youth.
Meta on Tuesday outlined steps it has taken to protect teens on its platforms, including age- verification technology and technology that finds and removes content related to suicide, self-injury or eating disorders.
“These are complex issues, but we will continue working with parents, experts and regulators such as the state attorneys general to develop new tools, features and policies that meet the needs of teens and their families,” Antigone Davis, Meta's head of safety, said in a statement.
Indiana last year filed a similar lawsuit against TikTok, claiming the video-sharing platform misleads its users, particularly children, about the level of inappropriate content and security of consumer information. Seattle's public school district in January also sued the tech giants behind TikTok, Instagram, Facebook, YouTube and Snapchat, seeking to hold them accountable for the mental health crisis among youth.
Sanders is also backing a bill advancing in the Arkansas Legislature that would require parental permission for anyone under 18 to use a social media site. The proposal, which a Senate panel endorsed on Tuesday, would require social media sites to verify a user's age.
Inflation remains hot as the January PPI has increased by 1 percent, twice what analysts had been expecting with a jump of 9.7 over the year. Beth Ann Bovino, the U.S. chief economist, for S&P Global Ratings, joined Cheddar News to discuss the rapid pace of inflation alongside higher wages, predicting the Federal Reserve will act quickly and forcefully this year. "They haven't changed their forecast, yet, that's gonna come out soon. But we expect that a March rate hike is basically pretty much baked in the cake," she said. "We think six rate hikes in total for 2022."
For black history month, Cheddar is highlighting black business leaders who are driving the need for representation forward. On February 10, the U.S. Chamber of Commerce hosted an event called 'Developing the Black-Owned Business Ecosystem.' The virtual event was organized under the lobbying group's two initiatives -- the Equality of Opportunity Initiative, and the Coalition to Back Black Businesses. The event highlighted the developments needed to develop more black-owned businesses in the U.S. Dr. Anthony Wilbon, Dean of the School of Business at Howard University, joined Cheddar News' Closing Bell to discuss his experience as a speaker at the event.
A newly declassified letter by senators Ron Wyden and Martin Heinrich claimed the CIA. has been conducting a Secret Surveillance Program which has been collecting a bulk of data from American citizens. The letter which was written in April of 2021 urges the CIA to come clean about the kind of data it collects and how many Americans have been impacted. According to these two senators, the program did not have the safeguards of congressional oversight.
Art Hogan, Chief Market Strategist at National Securities, joined Cheddar News' Closing Bell, where he says investors are taking a wait-and-see approach when it comes to the situation between Russia and the Ukraine and elaborates on the impact higher oil prices stemming from the conflict would have on the market.
Last week, Senators Ron Wyden of Oregon and Martin Heinrich of New Mexico, Democrats on the Senate Intelligence Committee, wrote a a letter airing concerns that the CIA is collecting the data of American citizens without their consent. The lawmakers fear that the program might be exploiting private data. Morgan Wright, the chief security advisor at cybersecurity firm SentinelOne, joined Cheddar News to discuss the ramifications of the letter. "We don't have all the dots in one place to connect them," said Wright, cautioning against jumping to conclusions.
Russian President Vladimir Putin and his Foreign Minister Sergey Lavrov said that diplomacy is still possible, while U.S. officials warn that an attack on Ukraine is imminent. Cheddar News speaks with James Astill, Washington bureau chief of The Economist on the latest developments in Eastern Europe.
As the number of Russian troops rose to 130,000 along its Ukrainian border, hopes for a diplomatic solution remain among world leaders. Jason McMann, head of geopolitical risk analysis at Morning Consult, joined Cheddar News to break down the fluid situation. "We saw signs pointing towards an increase in tensions between Ukraine and Russia, whereas today we're seeing some signs that the Russian government may be willing to continue down a path of diplomatic negotiations to try and find some sort of non-military solution," he said.
Nancy Pelosi and House Democratic leaders are now planning to amend the stop trading on congressional knowledge act, otherwise known as the 'Stock' Act. This 2012 law governs how members disclose the purchase or sale of stocks and amending it would close a loophole, eliminating the trading of individual stocks by members of congress. Pelosi has consistently opposed a ban on stock trading by lawmakers and congressional staff...so what's changed? Kedric Payne, Vice President of Campaign Legal Center, joins Cheddar News to discuss.
In a 5-4 vote, the U.S. Supreme Court allowed for a controversial new version of the Alabama congressional map to remain in place. The lower court had previously ordered that the state must redraw that congressional map because it violates the Voting Rights Act by diluting the political power of Black voters. Redistricting expert Yurij Rudensky joins Cheddar News to weigh in.
