Elon Musk’s social media platform X has been fined €120 million ($140 million) by European Union regulators for multiple violations of the Digital Services Act (DSA)—the first major enforcement action under the sweeping online content law.
Officials said X breached several DSA requirements, including:
- Deceptive design in its blue check verification system
- Lack of transparency in its advertising library
- Failure to provide researchers access to public platform data
The ruling marks a significant escalation in Europe’s efforts to rein in Big Tech and enforce stricter rules on online safety, transparency, and content moderation.
TikTok, meanwhile, avoided a penalty after agreeing to a set of concessions to address regulators’ concerns.
EU Says Fine Is “Not Censorship”
The sanction follows a two-year investigation into X under the DSA, which requires platforms to take stronger action against harmful and illegal content, improve transparency, and provide independent researchers with meaningful access to data.
EU tech chief Henna Virkkunen defended the penalty, saying the fine was “proportionate” and based on:
- The seriousness of the infringements
- The number of EU users affected
- The duration of X’s noncompliance
“We are not here to impose the highest fines,” Virkkunen said.
“We are here to enforce digital legislation. If you comply with our rules, you don’t get fined. It’s as simple as that.”
She emphasized that the DSA “has nothing to do with censorship”, pushing back against claims that the law targets free expression.
The Commission added that future DSA cases should be resolved more quickly than the lengthy X investigation.
US Reaction: Accusations of Anti-American Bias
The fine is expected to raise tensions with the United States.
US Vice President JD Vance criticized the EU ahead of the ruling, writing on X:
“Rumors swirling that the EU commission will fine X hundreds of millions of dollars for not engaging in censorship. The EU should be supporting free speech, not attacking American companies.”
Brussels has denied unfairly targeting US companies, insisting that the laws apply equally regardless of nationality.
More Tech Giants Under Investigation
X is not the only platform under scrutiny.
- Meta and TikTok were charged in October for failing to meet DSA transparency requirements.
- Chinese e-commerce platform Temu was accused of violating rules meant to prevent the sale of illegal goods.
TikTok said it would update its advertising library to meet transparency requirements and urged the EU to apply the rules “equally across all platforms.”
The Commission confirmed that investigations into illegal content on X, its anti-disinformation measures, and a separate inquiry into TikTok’s design and algorithms are still ongoing.
Under the DSA, fines can reach up to 6% of a company’s global annual revenue.
X has 60 to 90 working days to present compliance measures, depending on the specific violation.
