TikTok’s New US Privacy Policy Shares More User Data - DTH

Under new U.S.-based ownership, TikTok has implemented a sweeping overhaul of its privacy policy that significantly expands the scope of user data collection, including precise location tracking and the logging of artificial intelligence interactions. This policy shift headlines a volatile week in the technology sector, marked by an intensifying bidding war for Warner Bros. Discovery and major operational shifts at Tesla regarding autonomous driving and feature subscriptions.

Key Points

• TikTok Data Expansion: The platform now collects precise location data if permissions are granted and explicitly logs all user prompts and outputs from its AI tools.
• Streaming M&A War: Netflix has revised its bid for Warner Bros. Discovery to an all-cash offer of $27.75 per share, countering a hostile takeover attempt by Paramount.
• Tesla Strategy Shift: The automaker launched fully driverless rides in Austin, Texas, but removed standard lane-centering features from new vehicles to push a $99 monthly subscription.
• Apple AI Pivot: Apple confirmed a partnership with Google’s Gemini to power a revamped Siri chatbot, dubbed "Campos," slated for a June reveal.

TikTok Aggregates User Data Under New Policy

Following its transition to U.S.-based ownership, TikTok has introduced a privacy policy that aggressively widens its data-gathering capabilities. For the first time in the U.S. market, the application will collect precise location information from users who grant device permissions. Previously, the platform relied on less granular location data.

Beyond location tracking, the updated policy explicitly states that the company will log user interactions with AI features, capturing both the prompts entered by users and the models' generated outputs. These changes align with an expansion of TikTok’s advertising network, which now allows user data to be utilized for targeted advertising campaigns across third-party publisher sites, extending the platform's monetization reach well beyond the app itself.

Netflix vs. Paramount: The Battle for Warner Bros.

The consolidation of the media landscape accelerated this week as Netflix updated its acquisition proposal for Warner Bros. Discovery (WBD). Moving away from a mixed cash-and-stock approach, the streaming giant submitted an all-cash offer of $27.75 per WBD share. This strategic pivot is designed to streamline the regulatory approval process and counter a hostile takeover bid from Paramount, which stands at $30 per share.

The structure of the Netflix deal involves a significant divestiture. Under the proposed plan—which reportedly has the support of the WBD board—assets including CNN would be spun off into a new independent entity named Discovery Global. Paramount continues to argue that these residual assets hold minimal value, intensifying the pressure on shareholders ahead of a final decision.

Automotive: Tesla Launches Driverless Rides, Paywalls Safety Features

Tesla has commenced fully driverless robotaxi operations in Austin, Texas. Unlike previous supervised rollouts, these vehicles operate without a human safety monitor inside the cabin. However, the company is utilizing chase cars driven by humans to maintain oversight during these paid trips. Tesla plans to eventually integrate these autonomous units into the broader Austin fleet.

Simultaneously, the automaker is altering its pricing model for consumer vehicles in the U.S. and Canada. New Model 3 and Model Y purchases will no longer include "Auto Steer" (lane centering) as a standard feature. While traffic-aware cruise control remains complimentary, lane centering is now locked behind the "Full Self-Driving (Supervised)" subscription, priced at $99 per month. This move aligns with Tesla's strategy to phase out the $8,000 one-time purchase option for FSD after February 14, transitioning entirely to a recurring revenue model.

AI Integration and Regulatory Headwinds

Major tech firms are navigating a complex landscape of product innovation and regulatory scrutiny regarding artificial intelligence and user safety.

Apple and Google Join Forces

After reportedly weighing various options, Apple has confirmed a deal to utilize Google’s Gemini technology as its primary AI partner. This collaboration will underpin a major overhaul of Siri, internally codenamed "Campos." Expected to debut at WWDC in June, the update will transform the assistant into a chatbot capable of handling complex voice and text interactions, positioning it as a direct competitor to OpenAI’s offerings.

Social Media Safety

Meta has paused access to its AI characters for teenage users across all platforms. The company is developing an updated version featuring tighter parental controls and age-appropriate content filters. This decision comes as Meta faces a trial in New Mexico regarding teen safety and mental health. Similarly, Snap settled a lawsuit involving a 19-year-old plaintiff alleging social media addiction just days before a trial in Los Angeles. While Snap has settled, jury selection proceeds on January 27 for other defendants in the case, including Meta, TikTok, and YouTube.

Amazon's Alexa Plus

Amazon is moving forward with its upgraded "Alexa Plus" assistant, offering early access in Mexico with localized Spanish support and slang recognition. The new assistant, which powers over 600 million devices, is expanding to mobile, web, and third-party hardware like Samsung TVs and BMW vehicles.

"Adoption is strong after launches in the US and Canada," said Panos Panay, Amazon’s head of devices and services.

As the quarter progresses, industry observers will be closely monitoring the outcome of the social media addiction trials beginning late January, as well as the shareholder response to the escalating bidding war for Warner Bros. Discovery.