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Is Pinduoduo The Next TikTok? Chinese App Accused Of Spying On Users, Rivals

Published 03/04/2023, 11:09
Updated 03/04/2023, 12:10
© Reuters.  Is Pinduoduo The Next TikTok? Chinese App Accused Of Spying On Users, Rivals
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Benzinga - As TikTok battles with increasing scrutiny, another popular Chinese app has been accused of bypassing users’ cell phone security — and it has an international sister app that is topping U.S. download charts.

What Happened: While several apps have been accused of gathering user data, sometimes without explicit content, PDD Holdings’ (NASDAQ:PDD) Pinduoduo, a China-based e-commerce giant, seems to be taking some extreme measures to allegedly boost sales, reported CNN Business.

Multiple cyber security experts have found malware on the Pinduoduo app that exploits vulnerabilities in Android operating systems.

The malware is used to spy on users and competitors, the report noted, citing company insiders.

While there is no proof that Pinduoduo has provided data to the Chinese government, there are worries among U.S. lawmakers due to Beijing’s considerable influence over companies operating within its jurisdiction.

Pinduoduo did not immediately respond to Benzinga’s request for comment.

Why It’s Important: Accusations against Pinduoduo come when U.S. lawmakers are calling for a nationwide ban on the popular short-video app.

TikTok CEO Shou Chew was also questioned for five hours by Congress about the app’s connection with the Chinese government.

The disclosure could also bring increased focus on Temu, Pinduoduo’s international sister app, which ranked high in the U.S. top download charts. Although Temu has not been implicated, these allegations could influence the app’s global expansion, the report stated.

Check out more of Benzinga’s Consumer Tech coverage by following this link.

Read Next: ‘Linus Tech Tips’ Was Hacked And Used To Stream Bitcoin Scam Using Elon Musk At The Frontline

© 2023 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.

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