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EU launches legal investigation into social media platform X: first substantive lawsuit under Digital Services Law

Photo: Reuters

On December 18, 2023, the European Commission announced the official start of legal proceedings against social media platform X. This is part of the investigation into whether X has violated the EU Digital Services Law, with a focus on risk management and content review. It is worth noting that this is the first time that the EU has conducted an illegal content investigation into X in the context of a large number of posts related to the Israeli-Palestinian conflict. The survey conducted a rigorous review of X to assess whether it has violated relevant EU regulations. If convicted, X may face a fine of up to 6% of its global revenue, which would be a substantial $264 million based on its 2022 revenue. However, EU officials have clarified that these measures are not the final confirmation of X’s violation, but rather sufficient reasons for investigating it.The investigation by the European Commission focuses on four key areas. Firstly, investigate the responsibility of X in combating illegal content dissemination within the EU. Secondly, evaluate the efficiency of X in combating information manipulation. Thirdly, review the measures taken by X to improve transparency. Finally, the investigation focused on the deceptive problem of user interface design.

One of the specific focuses of the survey is the “Community Notes” feature launched by X earlier this year. This feature allows users to comment on posts and mark false information. EU officials are concerned about this method, as it essentially outsources the work of factual verification to users, rather than entrusting it to a dedicated review team. Especially in elections or other public events, the efficiency of this function has raised concerns. In addition, the European Commission is also investigating the strict restrictions on data access for social media researchers by X. According to reports, more than 100 studies related to X have been canceled, suspended, or modified due to these restrictions. In addition, the European Commission also expressed concerns about the potentially misleading and deceptive nature of X’s “certified” user identification. Observers interpret the EU’s actions as a warning to other major social media platforms, including Google and Facebook. The EU has emphasized its commitment to implementing the rules stipulated in the Digital Services Act, which took effect in November 2022 and requires large online platforms and search engines to take more measures to address illegal content dissemination and reduce public security risks. For the EU investigation, X emphasized that this process needs to follow the law and not be influenced by politics. At the same time, a group of bipartisan members of the US Congress sent a letter to Biden, warning that the EU is unfairly targeting American companies. They expressed concerns that the new regulations may harm the US economy and security interests and urged Biden to engage in diplomatic communication with the EU on this matter. Tesla and SpaceX CEO Elon Musk also questioned EU officials, asking if they would take action against other social media platforms. They stated that if they believe there are issues with X, the situation on other platforms may be even worse. The EU’s formal legal proceedings against X represent a significant development in the post-Digital Services Act era, signaling an end to the perception that platforms are too large for effective regulation. The outcome of this case may set a precedent for the implementation of digital services laws on other major social media platforms, potentially affecting their global operations.

By Jiashun TANG

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