The investment, according to TikTok’s head of privacy for Europe, “further cements the importance of Ireland” in the company’s global operations.
TikTok has signed a contract with a data center in Dublin to store data for its users in the United Kingdom and Europe.
The social media behemoth confirmed yesterday (6 April) that it is collaborating with a third-party service provider and that work on its first European data center has already begun. The center is expected to open early next year, with operations ramping up as the year progresses.
TikTok first revealed plans to build the data center in August 2020, with an estimated cost of €420 million and a completion date of early 2022.
However, according to The Irish Times, the investment is now valued at around €600 million due to increased capacity. The project has also been hampered by pandemic-related delays.
Elaine Fox, TikTok’s European head of privacy, stated that a regional approach to data governance will allow the company to “stay aligned with European data sovereignty goals.”
“As a forward-thinking company committed to continuing to provide a fulfilling platform for creators and businesses to entertain and realize meaningful opportunities, we believe it is critical to provide a localized solution that includes leveraging the expertise of regional leadership and employees.” Fox
“Where data transfers outside the region are required, we rely on approved data transfer methods from Europe, such as standard contractual clauses.”
TikTok is currently storing global user data in Singapore and the United States.
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TikTok’s investment in Ireland
Fox went on to say that the investment “confirms Ireland’s importance” to the company’s global business operations.
TikTok established a Dublin office in 2018 and has been on an expansion spree ever since, as the short-form video app has grown in popularity and now has around 1 billion monthly active users worldwide.
TikTok’s Irish team was given responsibility for European user privacy oversight in 2020, and the company later announced plans to open a European Transparency and Accountability Centre in Dublin.
In Dublin, the company’s headcount increased rapidly in 2020, and it planned to begin 2021 with more than 1,100 employees. It announced last summer that it would expand its workforce by opening a new cybersecurity center in Dublin, creating more than 50 new jobs.
Fox stated that TikTok is committing to office space in Dublin because it is one of the company’s “most important global hubs.”
It signed a long-term lease for the Sorting Office in Dublin’s docklands last year, which can accommodate up to 2,000 employees. According to the Irish Times, TikTok is also in talks to rent a further 257,000 square feet of office space across two sites under development in the docklands area, potentially for a 12-year lease.
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