European Union Charges X, Owned by Elon Musk, for Deceptive Practices and Lack of Transparency

The European Union has taken aim at Elon Musk’s X, formerly known as Twitter, accusing the platform of deceptive practices and falling short on transparency and accountability requirements. This marks the first charges against a tech company since the bloc’s new social media regulations came into effect.

The European Commission outlined its preliminary findings from an investigation into X under the Digital Services Act, a set of regulations that hold platforms accountable for protecting users and cleaning up harmful content. Regulators specifically called out X’s blue checkmarks, which they say can be used by malicious actors to deceive users.

Before Musk’s acquisition, blue checkmarks were reserved for verified accounts, but after he bought the site, they were made available to anyone who paid $8 per month. The commission stated that this practice negatively affects users’ ability to discern the authenticity of accounts and content.

Musk responded to the accusations by claiming that the European Commission offered X an illegal deal to censor speech without informing users in exchange for avoiding fines. The company has a chance to respond to the accusations and make changes to comply with the regulations, which could result in penalties worth up to 6% of its annual revenue.

The investigation into X is ongoing, with regulators also looking into the platform’s efforts to curb illegal content and combat information manipulation. Other tech companies, including TikTok, AliExpress, and Meta Platforms, are also facing DSA investigations.

This development highlights the growing scrutiny of tech companies and their responsibilities in protecting users and promoting transparency in the digital space.