EU Fines X for Non-Compliance: A Digital Regulatory Milestone

The European Union fined Elon Musk's social media platform, X, 120 million euros for breaching digital regulations. This is the first non-compliance decision under the Digital Services Act, following accusations of transparency requirement breaches involving verification systems and ad databases. X has yet to comment on the decision.

On Friday, European Union regulators imposed a 120 million euro fine on Elon Musk's social media platform, X, for violating the bloc's stringent digital regulations. Officials cited that such breaches pose significant risks to user safety by increasing exposure to scams and manipulation.

The sanction marks the first instance of the EU issuing a non-compliance verdict under the Digital Services Act (DSA), highlighting the platform's failure to adhere to transparency standards. The DSA mandates that digital platforms fulfill greater responsibilities in safeguarding European users against harmful content and scams.

Regulators pointed out three specific breaches by X, formerly known as Twitter, focusing primarily on deceptive verification systems and lackluster ad database transparency. Before Elon Musk's acquisition, blue checkmarks served as verification. In 2022, X shifted to a paid model, complicating user identification. Despite outlining these shortcomings last year, X has faltered in addressing these compliance issues.

(With inputs from agencies.)