Elon Musk’s X Platform Faces Regulatory Heat from EU
Elon Musk’s social media platform, X (formerly Twitter), is facing regulatory pressure from the European Union. The European Commission has alleged that X violated several fundamental principles of the Digital Services Act (DSA), including **dark patterns**, **lack of advertising transparency**, and **restricted data availability to researchers**.
What are the Issues?
The Commission has flagged several issues with X’s practices:
- The Commission found that X’s interface for verified accounts with the “Blue checkmark” is deceptive because anyone can subscribe for the verified status, potentially misleading users about the account’s credibility.
- The Commission also criticized X for not offering a stable advertisement repository, making it difficult for users and researchers to monitor and analyze online advertising risks.
- X’s terms of service restrict eligible researchers’ access to public data sets, discouraging important research due to cost and other barriers.
What’s Next for X?
The Commission has advised X that it is in violation of the DSA. X can respond to the findings and defend itself. If the Commission’s findings are upheld, X could face penalties of up to 6% of its total turnover in the preceding fiscal year. The platform may also be required to take actions to address the breaches and could be subjected to intensified supervision to comply with DSA requirements.
This situation highlights the growing regulatory scrutiny of social media platforms and their impact on user data and online behavior. The EU’s Digital Services Act aims to ensure user safety, transparency, and accountability in the online space.
**Note:** This post does not constitute financial advice. Always conduct thorough research before making any investment decisions.
