Europe Pushes Forward with Big Tech Clampdown, Fines X €120 Million
Brussels on Friday hit X, the social media platform founded by Elon Musk, with a €120 million fine, marking a major enforcement move under the bloc’s sweeping new digital regulations. The fine is the first imposed on X under the Digital Services Act (DSA), which demands greater transparency and responsibility from large platforms. Regulators found X guilty of three key violations: offering a “blue checkmark” verification badge in a way it described as misleading, failing to maintain adequate transparency around advertisements, and blocking researchers from accessing public data.
The penalty follows closely on the heels of a much larger fine against Google, €2.95 billion earlier this year, which sent a strong signal that EU regulators are determined to hold powerful tech firms accountable regardless of nationality or political ties, according to Reuters.
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European resolve tested by US pressure
The decision comes in spite of intense diplomatic pressure from the United States. Washington recently linked potential reductions in steel tariffs to the EU easing digital regulation. It also deployed diplomats across capitals to lobby against the enforcement of EU digital laws — a move widely seen as aimed at shielding American tech firms from regulatory scrutiny abroad.
But European authorities remain unbowed. For them, the larger issue is defending the integrity of the digital market and ensuring fair competition. As the EU’s antitrust chief, Teresa Ribera, put it, competition law must serve the interests of a fair and open market — not be used as a bargaining chip in trade negotiations.
Legal experts in Brussels say the blowback from the United States may be fading. For instance, the initiation of a fresh investigation into Meta’s AI-driven features on its chat platform suggests regulators are undeterred by external pressure.
What went wrong at X
The core of X’s infractions lies in how it changed its verification system and advertising practices. Since issuing blue ticks to anyone willing to pay for them, rather than to public figures or verified professionals, the platform has weakened the reliability of its verification system. Regulators argue this “deceptive design” misleads users and undermines trust.
On advertising, X failed to meet DSA standards that require platforms to maintain clear, accessible ad-libraries, showing who paid for ads, and ensuring adverts are visible to public scrutiny. In addition, X did not allow fair access to public data for researchers, essentially blocking independent monitoring of content and trends.
According to EU regulators, the verdict is not about punishing a company arbitrarily, but ensuring accountability. As the bloc’s tech executive in charge, Henna Virkkunen, stressed, the DSA is not meant to censor speech but to guarantee transparency and protect users’ rights online.
What the European clampdown means for the global tech landscape
The fine on X marks a turning point for global tech regulation. It signals to Silicon Valley, and the wider world, that the EU intends to enforce its digital laws rigorously, even when doing so risks clashing with powerful political and economic interests abroad.
For companies operating across borders, the message is clear: compliance with local content rules, transparency obligations, and accountability standards is no longer optional. The fact that a company as influential as X has been sanctioned shows that the bar for compliance has been raised significantly.
Regulators are not stopping at X. The EU has already launched a probe into AI tools from Meta, and the full outcome of Google’s earlier settlement remains a crucial test for the regulators’ resolve. Combined with the earlier Google fine, these moves illuminate a sustained drive to reshape the rules for digital platforms.
For users, from Europe and beyond, the ruling could ultimately translate into online spaces that prioritise trust, transparency and fairness. But for big tech firms, it also raises the stakes in balancing business models with regulatory compliance.
As the dust settles, the spotlight is now on how X will respond. It has a limited timeframe to propose a compliance plan. Whether it adapts to these new regulatory demands or mounts a legal challenge may set the tone for how global platforms operate in the years ahead.
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