European Union (EU) regulators are reportedly preparing to impose substantial penalties on Elon Musk 's social media platform, X, for alleged violations of the key law designed to combat illegal content and disinformation. The penalties will encompass both a financial fine and mandates for product modifications, the report said.
These measures, anticipated to be announced this summer, will mark the first enforcement actions under the Digital Services Act (DSA), an EU legislation aimed at ensuring social media companies actively police their platforms, news agency Reuters reported, citing sources familiar with the matter.
EU may fine X up to $1 billion
The report claimed that EU authorities have been deliberating the size of the fine against X, balancing the desire to enforce the DSA with the potential for escalating existing transatlantic disagreements over trade, tariffs, and the conflict in Ukraine.
One source told the news agency that the suggested the fine could exceed $1 billion, as regulators aim to use X as an example to deter other companies from non-compliance.
EU officials emphasised that the investigation into X is proceeding independently of recent tariff negotiations following US President Donald Trump's announcement of new taxes. The investigation commenced in 2023, and regulators issued a preliminary finding last year, concluding that X had breached the DSA.
"We have always enforced and will continue to enforce our laws fairly and without discrimination toward all companies operating in the EU, in full compliance with global rules," stated a spokesperson for the European Commission , the EU's executive arm, declining to comment specifically on the X investigations.
While a settlement remains possible if X agrees to implement changes addressing regulators' concerns, the platform also faces a separate, broader EU investigation. According to two individuals, this second inquiry is focused on building a case that X's relatively hands-off approach to content moderation has contributed to its becoming a center for illegal hate speech, disinformation, and other content deemed harmful to democratic processes across the EU.
These measures, anticipated to be announced this summer, will mark the first enforcement actions under the Digital Services Act (DSA), an EU legislation aimed at ensuring social media companies actively police their platforms, news agency Reuters reported, citing sources familiar with the matter.
EU may fine X up to $1 billion
The report claimed that EU authorities have been deliberating the size of the fine against X, balancing the desire to enforce the DSA with the potential for escalating existing transatlantic disagreements over trade, tariffs, and the conflict in Ukraine.
One source told the news agency that the suggested the fine could exceed $1 billion, as regulators aim to use X as an example to deter other companies from non-compliance.
EU officials emphasised that the investigation into X is proceeding independently of recent tariff negotiations following US President Donald Trump's announcement of new taxes. The investigation commenced in 2023, and regulators issued a preliminary finding last year, concluding that X had breached the DSA.
"We have always enforced and will continue to enforce our laws fairly and without discrimination toward all companies operating in the EU, in full compliance with global rules," stated a spokesperson for the European Commission , the EU's executive arm, declining to comment specifically on the X investigations.
While a settlement remains possible if X agrees to implement changes addressing regulators' concerns, the platform also faces a separate, broader EU investigation. According to two individuals, this second inquiry is focused on building a case that X's relatively hands-off approach to content moderation has contributed to its becoming a center for illegal hate speech, disinformation, and other content deemed harmful to democratic processes across the EU.
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