EU Fines Elon Musk's Social Media Platform X €120m for Breaching Digital Laws
Elon Musk's social media platform, X, has been fined €120m for violating new EU digital laws. The breaches included deceptive blue tick verification badges and lack of advertising transparency. The European Commission found X in breach of transparency obligations under the Digital Services Act (DSA), marking the first ruling against the platform since the laws regulating social media content came into force in 2023.
The investigation into X's breaches started two years ago and has now resulted in a historic ruling by the European Commission. The fines imposed on X were broken down into three sections: €45m for the blue tick verification issue, €35m for ad regulation breaches, and €40m for data access breaches related to research. The platform has 90 days to come up with an action plan to address the fine and can appeal the ruling.
The EU's tech regulations have also impacted other companies, with TikTok committing to providing advertising repositories to address transparency concerns. The DSA requires platforms to maintain accessible ad repositories to detect scams and illegal content. The EU retains the right to regulate tech companies, including non-US companies like TikTok, under the DSA.
The ruling against X may lead to tensions with the US, as the Trump administration has expressed concerns about EU tech regulations. However, the EU remains firm in its stance on regulating tech companies. Musk, who is on track to become the world's first trillionaire, has the option to appeal the ruling, similar to other companies that have taken their cases to the European Court of Justice. X has been informed of the decision but has not yet commented on the ruling.