Five Takeaways From TikTok’s Congressional Hearing

Kristin Snyder

Kristin Snyder is dot.LA's 2022/23 Editorial Fellow. She previously interned with Tiger Oak Media and led the arts section for UCLA's Daily Bruin.

Shou Zi Chew talking about TikTok on TikTok
Shou Zi Chew via TikTok

A few days ago, TikTok CEO Shou Zi Chew made his debut on the app he runs. Today, he made his debut before congress with an abysmal hearing before the House Energy and Commerce Committee. Without resorting to the obligatory “the clock is ticking on TikTok” joke, his efforts to convince representatives that TikTok is trustworthy only sowed further doubt about the app’s future in America.

Chew failed to distance TikTok from China

Evident throughout the hearing was the fact that every committee member was already convinced that TikTok poses a threat. Multiple people jokingly thanked Chew for uniting the committee in a bipartisan front. The uniting factor, it seems, was TikTok’s connection to its Chinese-based parent company, ByteDance.

Rep. Randy Weber derided TikTok as the Chinese Communist Party’s method of “indoctrinating our children with divisive, woke propaganda.” While Chew said that ByteDance is a private company, Rep. Anna Eshoo said she does not believe China has a private sector free of the government’s influence—which puts TikTok under their power. As such, she deemed his assertion that the Chinese government has not requested TikTok’s data to be “preposterous.” Coupled with the fact that Chew’s legal counsel also works with ByteDance, any lingering doubts that ByteDance and TikTok are entwined were quickly laid to rest.

People don’t have faith in Project Texas

In his opening remarks, Rep. Frank Pallone said that Project Texas, which is TikTok’s initiative to store American data via the software giant Oracle, is not acceptable protection against China’s influence. Chew met any questions regarding international access to US data with the fact that Project Texas will create a defensive “firewall” between the American databases and the Chinese side of the business.

Across the board, there was significant skepticism toward the plan’s efficacy. Pallone, and many others, shared sentiments that “the Beijing Communist government” would still be able to access information and influence the company. And, of course, the Texans in the room took offense to the project being linked to their state. Once meant to be the app’s saving grace, it's clear that Project Texas is unlikely to be a sufficient solution for these lawmakers.

Child safety was considered equal to data security

TikTok has often come under fire for promoting content that fosters mental health issues, promotes eating disorders and facilitates drug deals. Committee chair Rep. Cathy Rodgers began the hearing by saying that she wants to ensure that “TikTok doesn’t harm our innocent children.”

Chew responded to these questions with the apps’ safety measures, such as not allowing teens to livestream or send direct messages. But it was clear that no one was convinced. And pointing to the 60-minute time limit for teens led to multiple lawmakers claiming that their own children have been able to bypass these measures. Rep. Gus Bilirakis said the app is “literally leading to death.”

As Chew noted multiple times, these issues are not unique to TikTok. And here’s where lawmakers who focused on this argument failed—none of TikTok’s competitors have faced serious consequences for their impact on mental health issues, particularly amongst young people. While there are valid concerns about data privacy, TikTok shouldn’t be the sole company to be punished for harming children. Honestly, the idea that some committee members view kids ignoring their bedtime to scroll through TikTok as an important use of the government’s time is laughable. Critics have pointed to these types of questions as hypocritical when the government hasn’t meaningfully regulated content hosted by American platforms.

Many showed a half-baked understanding of technology

Throughout the hearing, there were numerous blunders that undermined the lawmaker’s understanding of how the internet works. Sure, some, such as Rep. Jay Obernolte, had detailed questions that reflected a baseline understanding of technology. But that wasn’t seen across the board.

In trying to demonstrate that TikTok pushes content that promotes suicide, Bilirakis showed a series of TikTok videos that do just that. One of those clips, however, was from hit TV show “The Bear.” Altogether and unsurprisingly, the reel took away from any genuine understanding of how the app can worsen mental health concerns. Rep. Richard Hudson appeared to be confused about how the app uses in-home wi-fi. And Rep. Buddy Carter seemed to think that TikTok wants to collect data about users’ eye dilation. Of course, not understanding something fully hasn’t stopped lawmakers from voting on a topic in the past. And teens making fun of them online likely won’t sway them in TikTok’s favor. Still, this embarrassing trend, a staple of big tech hearings, often works against lawmakers and their credibility.

Section 230 discussions aren’t going anywhere

Earlier this month, the Supreme Court heard oral arguments for two cases that could alter Section 230 of the Communications Decency Act, which prevents social media companies from being sued over user-generated content. There’s significant doubt over whether or not these particular cases have legs. But multiple people brought up Section 230 throughout today’s hearing, with Rep. Robert Latta from Ohio saying that TikTok’s amplification of potentially harmful content is a “perfect example” of why the law must be changed. So even if the Supreme Court doesn’t make any changes to the existing law or if TikTok survives this episode, people can expect some sort of legislative crackdown on Section 230 in the near future.

In all, this was a bad look for TikTok. Sure, its proponents are calling this “the most boomer hearing.” But that’s nothing compared to the political beating Chew took. Whether it actually leads to a TikTok ban or sale remains to be seen. What we do know is that TikTok lost a key battle in its quest to be seen as independent from the whims and fancies of the CCP.

https://twitter.com/ksnyder_db

Subscribe to our newsletter to catch every headline.

What’s New from Waymo 🚗 and Snapchat 👻

🔦 Spotlight

Happy Friday, LA!

Image Source: Waymo

In case you’ve been cooped up indoors or haven’t had a chance to leave the office this week, you might have missed the latest buzz—Waymo’s self-driving cars are now cruising all over LA! That’s right—Waymo One, the autonomous ride-hailing service, has officially expanded citywide, now covering nearly 80 square miles of Los Angeles. After months of testing and a waitlist, Angelenos can now book rides 24/7 in areas stretching from Santa Monica to Hollywood to the USC neighborhood. Early feedback has been overwhelmingly positive, with passengers rating the service 4.7/5. Riders are praising the smooth, safe experience—making it a game-changer for getting around the city, whether it’s for work, errands, or leisure.

Image Source: Snap

Meanwhile, Snapchat is stepping up its game with new features in its Family Center designed to boost family safety and connectivity. Parents can now request their teens' live location on Snap Map, stay informed about their location-sharing settings, and set travel notifications to get alerts when family members arrive or depart from key locations like home or school. These updates give families more control and peace of mind in managing their digital interactions.


🤝 Venture Deals

LA Companies

  • Camouflet, an AI-driven platform specializing in real-time pricing optimization, has raised a $3M Seed funding round from private investors to enhance its services. - learn more
  • Chaos Industries, a defense tech company specializing in advanced detection and monitoring systems, raised a $145M Series B funding round led by Accel to accelerate its development of critical national security technologies. - learn more
  • Radiant, a company specializing in advanced nuclear microreactors, raised a $100M Series C funding round led by DCVC. The funds will be used to complete the Kaleidos Development Unit and conduct testing at Idaho National Laboratory's DOME facility, aiming to bring factory-built microreactors to market. - learn more
  • Mundial Media, a company focused on contextual marketing for multicultural audiences, raised a $1.5M Pre-Seed extension round led by new and existing investors, with the funds aimed at advancing their Cadmus AI technology and expanding digital advertising offerings. - learn more

LA Venture Funds
  • Joyful Ventures participated in a seed funding round for Meatly, a UK-based company specializing in lab-grown pet food, though the exact amount raised has not been disclosed. - learn more
  • B Capital participated in a $200M Series C funding round for Writer, a full-stack generative AI platform that helps enterprises deploy secure and reliable AI solutions to address critical business challenges. - learn more
  • LFX Venture Partners participated in a US$30M Series C2 funding round for UniUni, a company transforming last-mile delivery for e-commerce through technology, and plans to use the capital to improve its platform and rapidly grow its operations. - learn more
  • Composition Capital participated in a $20M Series B funding round for Arbolus, an expert insights platform that connects investors and consultants with subject matter experts, to support Arbolus's expansion into the U.S. market - learn more
  • Type One Ventures co-led a Series A funding round for Lunar Outpost, a company specializing in lunar surface mobility, commercial space robotics, and space resources; the funds will support their active programs. - learn more
  • Trousdale Ventures participated in a $29M funding round for Starfish Space, a Seattle-based satellite servicing company that will use the funds to develop and launch its Otter spacecraft, designed to extend the operational life of satellites in geostationary orbit. - learn more
  • Plus Capital participated in a $20M Series A funding round for OneSkin, a San Francisco-based biotech company specializing in skin health treatments, with the funds aimed at expanding research, developing new formulas, and growing its presence in the anti-aging skincare industry. The company will also invest in its team and explore new sales channels. - learn more
  • Starshot Capital participated in a $10.5M Series A funding round for Ecolectro, a New York City-based green hydrogen company, to support the development of its scalable electrolyzer technology and make green hydrogen more accessible. - learn more
  • Navitas Capital participated in a $37M Series B funding round for SwiftConnect, a company that provides connected access solutions for buildings and spaces, to expand its network, scale operations, and support new product initiatives. - learn more
  • Griffin Gaming Partners led a €17M Seed funding round for BIT ODD, a Finnish gaming studio focused on creating mobile games that prioritize creativity and emotional depth over finance-driven metrics. - learn more
  • The K Fund participated in a $20M funding round for Homethrive, a caregiving solutions platform, and the funds will be used to help expand its AI-driven care navigation, improve personalized support, and enhance digital tools to increase engagement across various payer populations. - learn more

        LA Exits

        • Farm Dog, a Los Angeles-based company that provides a platform with tools to help agronomists streamline their work—offering features for field scouting, document management, and data integration to enhance productivity in agriculture—has been acquired by FarmQA. - learn more

                Download the dot.LA App

                Wonder Dynamics: Redefining the Animation Landscape
                Wonder Animation

                🔦 Spotlight

                Happy Friday, LA!

                Wonder Dynamics, a Los Angeles-based company founded by Tye Sheridan and Nikola Todorovic, has launched Wonder Animation, a beta feature that is poised to transform the landscape of video production. Acquired by Autodesk in May, Wonder Dynamics is leveraging this innovative tool, which harnesses artificial intelligence to turn standard video footage into captivating 3D animated scenes, making sophisticated animation techniques more accessible to filmmakers of all budgets.

                Wonder Animation allows creators to shoot from multiple angles, with the AI reconstructing these shots into a dynamic 3D space. This functionality enables filmmakers to seamlessly blend live-action scenes with interactive virtual environments while preserving original camera movements. Users can customize various aspects, including animations, characters, lighting, and camera tracking data, and the tool integrates smoothly with popular software like Maya, Blender, and Unreal Engine.

                What sets Wonder Animation apart is its emphasis on artistic control. Unlike many AI tools that impose rigid outcomes, this feature empowers creators to guide their projects, ensuring that their unique style remains front and center.

                As the boundary between video and 3D animation blurs, Wonder Animation invites creators to experiment and innovate in exciting ways. This development marks a significant step forward in digital storytelling, democratizing access to high-quality visual effects and making sophisticated animation achievable for a broader range of filmmakers.

                With the global animation market projected to reach approximately $400 billion in 2024 and grow to over $587 billion by 2030—reflecting a compound annual growth rate (CAGR) of about 5%—tools like Wonder Animation are more relevant than ever. This growth underscores the increasing demand for animated content and highlights the necessity of innovative solutions to meet filmmakers’ evolving needs. For those looking to elevate their storytelling, Wonder Animation may just be the key to unlocking new creative horizons. According to Statista, this upward trend in the animation market emphasizes the significant opportunities ahead.


                🤝 Venture Deals

                LA Companies

                • Evite, an online platform enabling users to design, send, and manage digital invitations and eCards with tools for event organization and guest tracking, has received a strategic growth investment from Francisco Partners to accelerate innovation and expand its product offerings. - learn more
                LA Venture Funds
                • F4 Fund participated in a $4.1M Pre-Seed funding round for Further, a platform designed to help first-time homebuyers determine how much home they can afford by providing personalized insights on interest rates and lender requirements, giving users a clear view of their purchasing power. - learn more
                • Alexandria Venture Investments participated in a $10M Seed funding round for CrossBridge Bio, a company focused on developing advanced dual-payload antibody-drug conjugate (ADC) therapies, with the funds supporting preclinical development of its next-generation cancer treatments. - learn more
                • Clocktower Ventures participated in a $5.6M Series A funding round for Morada Uno, a startup in Mexico focused on making apartment rentals easier by providing a platform that connects tenants with landlords and simplifies processes like lease agreements and rent payments. - learn more
                • Skyview Capital participated in a $5M Series A funding round for Web3 chain game A-World, a tower defense battle game set in the metaverse on the BNB Chain, where players build hero towers to defeat waves of monsters. - learn more

                    LA Exits

                    • Drive Hospitality, a leading provider of personalized parking and hospitality services, including valet, concierge, bell services, parking management, and advanced technology integration, has been acquired by Propark Mobility. - learn more
                    • Vebu Labs, located in El Segundo and specializing in custom automation solutions for the food industry—including the innovative 'Autocado' system that automates the peeling, coring, and scooping of avocados to enhance operational efficiency—will be acquired by Serve Robotics. - learn more

                          Download the dot.LA App

                          Big Wins: Dodgers Take the Title ⚾, ChatGPT Levels Up🚀

                          🔦 Spotlight

                          Happy Friday, LA! It’s been a week of big wins, on and off the field. 🎉

                          ⚾️ First up, let’s talk Dodgers. With a thrilling 7-6 comeback victory over the Yankees in Game 5, the Dodgers clinched their eighth World Series title, their first since 2020. The city is buzzing, and fans are ready to celebrate! A parade kicks off this morning at 11 a.m., starting at City Hall and winding down to Flower Street, with a ticketed celebration at Dodger Stadium for those wanting to keep the festivities going.

                          Image Source: Dodgers

                          💻 Meanwhile, in the tech, OpenAI just rolled out a game-changing update for ChatGPT. Plus and Enterprise users can now access real-time internet search, powered by Microsoft Bing, bringing ChatGPT's responses fully up-to-date. This means users can now ask about the latest news, hotspots, or recent LA startup announcements, and ChatGPT will pull in fresh, relevant answers directly from the web. Previously limited to information up to 2021, ChatGPT’s new browsing capabilities make it a valuable digital assistant for anyone needing real-time insights in fast-paced industries like tech and entertainment.

                          Image Source: ChatGPT

                          🔍 The real-time search feature also includes “Browse with Bing,” allowing ChatGPT to source information from multiple sites for detailed answers to complex questions. Whether you’re exploring the latest venture capital trends in LA or curious about the best local spots, ChatGPT’s new browsing power helps you stay ahead with the latest info. This leap forward in AI functionality makes ChatGPT even more versatile and powerful for everyone, from business owners to everyday users.

                          From the Dodgers’ World Series win to OpenAI’s latest ChatGPT update, there’s a lot to celebrate in LA this week. Here’s to champions, innovation, and a city that’s always pushing boundaries. 🌆✨


                          🤝 Venture Deals

                          LA Companies

                          • Final Boss Sour, a Los Angeles-based gaming-themed snack company specializing in healthier sour snacks, has raised a $3M Seed funding round led by Science Inc. to expand its product offerings and operational capabilities. - learn more
                          LA Venture Funds
                          • Smash Capital led a $50M Series B round for Read AI, a productivity-focused AI company, bringing its total funding to $81M. The company offers a platform that enhances meeting efficiency through features like note-taking, summarization, and transcription. Additionally, Read AI introduced "Read AI for Gmail," a free Chrome extension that integrates information from various applications, reducing the need to switch between apps. The funds will be used to increase the company's headcount in engineering, data science, and business teams. - learn more
                          • Distributed Global participated in a $25M funding round for Nillion, a company that provides decentralized privacy solutions designed to secure sensitive data using advanced technologies like secure multi-party computation. - learn more
                          • Act One Ventures participated in a $5M Seed funding round for Latii, a construction materials supply chain startup, to enhance its platform that connects contractors with suppliers, aiming to streamline procurement processes and reduce costs in the construction industry. - learn more
                          • SmartGateVC participated in a pre-seed funding round for Ritual Dental, a company revolutionizing dental care by integrating advanced technology and microbiome science to provide personalized, preventive treatments. - learn more

                              Download the dot.LA App

                              RELATEDEDITOR'S PICKS
                              LA TECH JOBS
                              interchangeLA
                              Trending