EU Commission Alleges X in Breach of Digital Services Act

The European Commission has recently issued preliminary findings accusing X, formerly known as Twitter, of violating the Digital Services Act (DSA) in three key areas. The allegations, announced on Friday, focus on issues related to user interface design, advertising transparency, and data access for researchers.

In its first grievance, the Commission claims X's "verified accounts" system with blue checkmarks is misleading to users. The complaint suggests that the current system, which allows anyone to subscribe for verification, undermines users' ability to make informed decisions about account authenticity and content reliability.

Secondly, the EU's executive body alleges that X has failed to provide a sufficiently transparent and accessible advertisement repository. The Commission argues that design features and access barriers make it difficult for users and researchers to effectively monitor online advertising practices.

The third allegation concerns X's policies on data access for researchers. The Commission contends that X prohibits eligible researchers from independently accessing public data through methods like scraping, while also imposing what it deems "disproportionally high fees" for API access.

These preliminary findings do not constitute a final decision. X now has the opportunity to examine the Commission's investigation file and respond to the allegations.

If the Commission's views are confirmed, X could face fines of up to 6% of its global annual turnover and be required to implement corrective measures. The company might also be subjected to an enhanced supervision period to ensure compliance.

This development is part of a broader effort by the EU to regulate large online platforms under the Digital Services Act. X, which was designated as a Very Large Online Platform (VLOP) in April 2023, has been under formal investigation since December 2023.

The Commission has also opened similar proceedings against other major platforms, including TikTok, AliExpress, and Meta, in recent months.

X has not yet publicly responded to these allegations. The company now faces the task of addressing the Commission's concerns or potentially facing significant regulatory consequences in the European Union.

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