BREAKING: X, the social media platform owned by Elon Musk, has just deactivated the European Commission’s ad account following a staggering €120 million fine for violating the Digital Services Act (DSA). The fine, announced on December 5, 2023, marks the first-ever penalty imposed under the DSA, and comes just days after the Commission’s decision.
The European Commission found X guilty of breaching transparency obligations, particularly concerning account verification marks and its advertising repository. An investigation revealed that X’s controversial ‘blue checkmark’ system, which allows any user to pay for verified status, misleads users about the authenticity of accounts and the content they encounter.
Authorities confirmed that X’s failure to provide researchers with access to public data further compounded the issue, as the platform’s ad repository did not comply with required transparency standards. The Commission stated that X employs design features that create barriers, including excessive delays in processing ad requests, effectively undermining the intended purpose of ad transparency.
In an urgent response to the fine, X now has 60 to 90 days to present a plan to rectify these violations. Earlier reports indicated that the EU was preparing to impose fines exceeding $1 billion on X for its ongoing DSA infractions, underscoring the seriousness of the situation.
Amid this turmoil, X’s head of product, Nikita Bier, accused the Commission of exploiting vulnerabilities in the platform’s ad tools. “You logged into your dormant ad account to take advantage of an exploit in our Ad Composer,” Bier stated, emphasizing that the account has been terminated for attempting to mislead users. He further noted that this exploit had “never been abused like this” and has since been addressed.
The European Commission, while defending its actions, maintains that it uses all available social media tools in good faith, adhering to the platforms’ terms and conditions. A spokesperson emphasized that the Commission expects compliance with the legislative framework while utilizing tools like X’s Post Composer.
In a related development, the Irish Coimisiún na Meán has initiated its own investigation into X to determine if users can appeal content moderation decisions made by the platform. The EU had already suspended paid advertising on X in October 2023, reflecting escalating tensions between the platform and European regulators.
This situation continues to evolve rapidly, with significant implications for X’s operations in Europe and its broader business model. As the platform grapples with compliance issues and regulatory scrutiny, users and stakeholders alike are left questioning the future of transparency on social media.
Stay tuned for further updates on this developing story, as the implications of these actions unfold.
