X.com/Twitter could be punished by the Digital Services Act in the EU

On Thursday, October 12, the European Union (EU) revealed that it had formally requested information from X, scrutinizing the company’s handling of violent content and disinformation related to the Israel-Hamas conflict. The EU’s formal request seeks to evaluate X’s compliance with the recently enacted Digital Services Act (DSA). This inquiry has the potential to trigger a comprehensive investigation into the company’s adherence to the DSA. A failure to respond accurately or provide misleading information may expose X to fines of up to 5% of its daily global turnover. Continued violations under the DSA could escalate these fines to as much as 6% of the global turnover, translating to potential penalties in the hundreds of millions. Persistent violations could also result in the suspension of X in the EU.

The EU’s request followed an open letter from EU Commissioner Thierry Breton to Musk on X just two days prior. In the letter, Breton emphasized the need for transparency in content policies, timely action in response to notices of illegal content in the EU, and the implementation of effective measures to address disinformation risks to public security and civic discourse.

As one of the 17 designated Very Large Online Platforms (VLOPs) under the DSA, X faces heightened scrutiny. The company is mandated to furnish details about the activation and functionality of its crisis response protocol by Wednesday, October 18. Additionally, X has until Tuesday, October 31, to address other concerns raised. Non-compliance could lead to the imposition of the first major fine under the DSA. Importantly, X is not the sole social media entity receiving warnings. In letters directed to X, EU Commissioner Thierry Breton also reminded Mark Zuckerberg of Meta and Shou Zi Chew of TikTok about their obligations to combat misinformation under the DSA. Many of these concerns revolve around disinformation related to the Israel-Hamas conflict.

Since the inception of the DSA, major tech companies have been actively striving for compliance. If you’re uncertain about your company’s compliance under the DSA or other AI regulations, consider reaching out to BABL AI. Their Audit Experts possess specific expertise in handling DSA compliance and can assist you with any questions or concerns.