JAKARTA (Bloomberg): TikTok said it is working with Indonesian authorities to resolve a dispute that led to the suspension of its local operating license, after the company declined to fully share data on its live streaming activity during nationwide protests in August.
"At TikTok, we respect the laws and regulations of the markets we operate in,” the company said in a statement late Friday. "We are working closely with the Ministry of Communication and Digital Affairs to address this matter constructively, while remaining committed to safeguarding user privacy and ensuring that our platform provides a safe and responsible experience for the community in Indonesia.”
Indonesia’s communications ministry announced the suspension Friday, citing a violation of obligations as a private electronic system operator.
The decision followed TikTok’s refusal to provide complete data on user activity during protests held Aug. 25-30, which flared after the death of a delivery driver. Officials said the company submitted partial information but failed to meet the government’s full request.
The suspension is an administrative measure and does not amount to an application shutdown, meaning TikTok services remain accessible, Alexander Sabar, a director general at the ministry said in a text message late Friday.
He added that TikTok had responded positively and reached out to provide a "constructive solution to fulfill its obligations.”
"The suspension could be revoked if the company meets its obligations,” Sabar said.
The suspension followed a Sept. 23 letter in which TikTok told the ministry its internal policies prevented it from fully complying with the data request.
TikTok temporarily paused its live streaming function on Aug. 30 as the demonstrations escalated, before resuming it several days later when tensions eased. The suspension highlights the regulatory challenges faced by the Chinese-owned platform in one of its biggest markets, where authorities have been tightening oversight of social media and e-commerce platforms.
The outcome of negotiations with Jakarta will be closely watched, as Indonesia has been central to TikTok’s Southeast Asia strategy, both for user growth and for its push into online shopping. The country ranks among the largest contributors to TikTok Shop’s gross merchandise value globally.
--With assistance from Prima Wirayani.
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