Skip to content
City PM
  • Germany
  • France
  • Europe
  • Markets
  • Business
  • Opinion
  • Germany
  • France
  • Europe
  • Markets
  • Business
  • Opinion
Friday 22 August 2025 12:27 pm

TikTok sheds London staff in major AI push

By: Saskia Koopman

Tech Reporter

Add as a preferred source on Google
Tiktok appeals to overturn US ban in a broader battle for tech regulation
TikTok says its advertising revenues are growing by 40 per cent

TikTok is set to lay off hundreds of staff in its content moderation and security team in London, a decision that has sparked concern just as the UK’s Online Safety Act comes into force.

The company, owned by ByteDance, is centralising its “trust and safety” operations globally and plans to increasingly rely on artificial intelligence to moderate content.

The move, which could affect around 300 London-based staff, is part of a worldwide reorganisation.

TikTok said it aims to focus its operational expertise in a few select locations, including Lisbon and Dublin, to be “more effective and quick.”

The company’s most recent accounts show a 38 per cent year-on-year revenue growth to $6.3bn (£4.7bn), with pre-tax losses falling significantly, suggesting the cuts are not driven by financial distress.

The rise of AI in content moderation

TikTok said that over 85 per cent of content removed for violating its community guidelines is identified and taken down by automation.

The company has argued that AI can also help reduce the exposure of human moderators to graphic or distressing content.

This shift toward automation is not unique to TikTok, it mirrors a broader trend in the tech industry, where platforms like Google and Meta are increasingly pushing advertisers to use AI-powered tools.

But critics, including the Communication Workers Union (CWU), have voiced concern. John Chadfield said that TikTok’s reliance on AI is a way to save money and move moderation to areas where labour is cheaper.

Read more

Tiktok falls under ban just as brands ramp up ad spend

Tiktok appeals to overturn US ban in a broader battle for tech regulation

The union also warned: “TikTok workers have long been sounding the alarm over the real-world costs of cutting human moderation teams in favour of hastily developed, immature AI alternatives”.

The Online Safety Act and AI’s role

The timing of the layoffs is particularly significant given the UK’s new Online Safety Act, which came into force on 25th July.

The law requires tech companies to implement “highly effective” age verification measures and prevent the spread of harmful material, or face penalties of up to £18m or 10 per cent of global turnover.

In response to these requirements, TikTok recently introduced “age assurance” controls using machine-learning technology.

However, industry regulator Ofcom has not yet endorsed these AI-based systems.

This creates a tension between a company’s financial incentives to use AI for efficiency and the regulatory demands for verifiable safety mechanisms.

The reliance on AI is also a key part of TikTok’s broader commercial strategy. The company recently made it mandatory for TikTok Shop brands to use an AI ad tool called GMV Max, which automates ad campaigns to maximise sales.

While some advertisers have expressed doubts about ceding control to an algorithm, a TikTok Shop agency partner said the tool has been a “game changer” for some smaller merchants.

As TikTok pushes further into e-commerce and AI-powered moderation, the balance between profit, efficiency, and user safety still remains a central and unresolved issue.

Read more

I’m a digital strategist, here’s why I’m worried about social media

Tiktok appeals to overturn US ban in a broader battle for tech regulation

Share this article

  • Facebook
  • X
  • LinkedIn
  • WhatsApp
  • Email

Similarly tagged content:

Sections

  • News

Categories

  • Tech
  • Business

People & Organisations

  • AI
  • artifical intelligence
  • Bytedance
  • JOb cuts
  • ofcom
  • Online Safety Act
  • Peter Kyle
  • regulator
  • TikTok
  • UK job losses
  • UK tech

Trending Articles

  • Burnham tax plans spark investor rush to bank capital gains

  • Brewdog chief executive quits after only one year

  • UK ‘no longer a serious place’ says Hedge fund boss after losing £200m tax battle

  • Cruyff turn: Starmer allows pubs to stay open for England World Cup game

  • Canary Wharf’s reinvention is a triumph

More from City PM

  • Tiktok falls under ban just as brands ramp up ad spend

    Tech
    Tiktok appeals to overturn US ban in a broader battle for tech regulation
  • I’m a digital strategist, here’s why I’m worried about social media

    Opinion
    Tiktok appeals to overturn US ban in a broader battle for tech regulation
  • 2026 World Cup: Why YouTube and TikTok could re-write Fifa’s revenue playbook

    Sport Business
    Getty Images logo with the number 2281124878, representing a unique identifier for stock image licensing
  • UK social media ban blow to sports rights holders using TikTok and YouTube

    Sport Business
    A diverse group of business professionals engaged in a dynamic meeting at a modern office, discussing strategic plans.
  • Bluesky bets on the end of X and Meta’s social media grip

    Tech
    Elon Musk owns X
  • ‘Protecting children is right’: Starmer takes on Big Tech with social media ban for under-16s

    Politics
    Keir Starmer speaks in Downing Street
  • Introducing Canva Grow 2.0: Create, Launch, and Optimize Ads in One Place

    Business Wire
  • Social media ban may push children to ‘darker corners of the internet,’ lawyers warn

    Legal
    Australia's policy, which came into force in December and bars children under 16 from major platforms including Tiktok, Instagram, Snapchat and X.

City PM — European politics, business and analysis.

Europe

  • Germany
  • France
  • Europe
  • UK & Ireland

Topics

  • Business
  • Markets
  • AI
  • Technology
  • Opinion
  • Energy

More

  • Politics
  • Economics
  • Fintech
  • Legal
  • Sport
  • Life

Company

  • About City PM
  • Editorial Policy
  • Corrections
  • Contact
  • Terms of Use
  • Privacy Policy
  • Cookie Policy
© 2026 City PM · Published by CityPM Media, Bahnhofstrasse 65, 8001 Zürich, Switzerland
About · Editorial Policy · Corrections · Contact · Privacy