The European Union has issued a formal warning to Elon Musk’s X platform, formerly known as Twitter, citing violations under the Digital Services Act (DSA) for misleading users with its blue checkmark certification and failing to comply with EU content rules.
The EU’s action marks the first warning under the DSA against X, which has undergone significant changes since Musk acquired it in October 2022, including rebranding.
The DSA mandates stricter oversight of digital platforms to enhance user protection and content transparency.
Regulators expressed concern over X’s revamped blue badge system, which now allows anyone to obtain verification through a premium subscription, contrary to the previous practice of granting it only to verified accounts like leaders, companies, and journalists after rigorous approval.
In a statement, the European Commission criticized X, stating, “Since anyone can subscribe to obtain such a ‘verified’ status, it negatively affects users’ ability to make free and informed decisions about the authenticity of the accounts and the content they interact with.”
Thierry Breton, the EU’s top digital official, emphasized the severity of the situation, stating, “X has now the right of defence — but if our view is confirmed we will impose fines and require significant changes.” Fines under the DSA can reach up to six percent of a company’s global annual turnover.
X, categorized as one of the EU’s “very large” online platforms, is under scrutiny for various compliance issues, including content moderation resources and handling of generative AI risks during elections.
The investigation into X is part of broader EU efforts to enforce the DSA and Digital Markets Act (DMA) against major tech firms like Meta’s Facebook and Instagram, TikTok, and AliExpress.
The outcome of the investigation into X’s compliance with the DSA and subsequent potential penalties will be closely watched as EU regulators escalate their efforts to curb digital platform abuses and safeguard user interests across the 27-member bloc.
The European Commission has not specified a timeline for concluding its investigation into X’s practices, signaling continued scrutiny over the platform’s operations amid ongoing regulatory reforms targeting big tech.
