European Commission targets Meta and TikTok for violating landmark DSA rules

The European Commission has issued preliminary findings accusing Meta and TikTok of violating the EU’s Digital Services Act (DSA), a landmark regulation designed to enhance online safety and transparency. These findings mark the first time Meta has been formally accused under the DSA.

The investigation reveals that both platforms failed to provide adequate access to public data for researchers, hindering efforts to assess their impact on public health and safety.

Additionally, Meta is accused of implementing deceptive design practices, known as “dark patterns,” that make it difficult for users to report illegal content. These practices contravene the DSA’s requirements for straightforward “Notice and Action” processes.

In response, a Meta spokesperson contested the claims, stating that the company had already implemented changes aligned with DSA standards.

The EU urges tech firms to comply with the regulations set

The EU has established several regulations to govern large tech companies. An example is the Digital Services Act, which limits the influence of these tech giants. Sources have also discovered that the EU’s executive branch has been initiating multiple investigations under another significant law, the Digital Markets Act. 

Regarding the commission’s allegations against Meta, individuals in the tech ecosystem have raised heated debates. To address these concerns, Ben Walters, a spokesperson for the tech company, stated that they disagree with any claims filed against them regarding the alleged violation of the DSA. 

He further pointed out the company’s efforts to find a common ground on the situation as they were still negotiating with the European Commission on these issues.

When reporters asked Walters to comment on their operation, the representative stated that since the introduction of the DSA in the European Union, they have made several adjustments to their content reporting options, appeals process, and tools for data access. Therefore, with these changes in place, Walters believes that Meta meets the law’s requirements. 

TikTok declined to comment on a request from reporters. Still, the EU emphasized that it is important for researchers to access information from social media platforms. This enables the public to examine any tech-related physical or mental health impacts.

TikTok finds itself in trouble again with the EU 

In preliminary findings, the commission noted that Facebook, Instagram, and TikTok may have implemented complex procedures and tools that hindered researchers from seeking public data.

As a result, researchers regularly end up with incomplete or unreliable data, making it hard for them to study whether users, including young people, are exposed to illegal or harmful content. To tackle this issue, the Commission has called on these tech firms to review its findings and reply in writing.

Suppose the Commission’s initial findings are correct, it can make a non-compliance decision, which could ultimately lead to a fine of up to 6% of their total yearly revenue globally. This is a significant amount for Meta and ByteDance, the parent company of TikTok.

In the meantime, Ireland’s privacy regulator earlier imposed a substantial fine of about €530 million, equivalent to around $601.3 million, on TikTok. This was after they alleged that the tech company had transferred users’ data in the EU to China.

According to the Irish Data Protection Commission (DPC), which oversees TikTok’s privacy matters in the EU, TikTok violated the GDPR data protection law by sending European user data to China.  

To serve as an example to other tech firms with similar intentions to TikTok, the regulator ordered the tech company to ensure its data processing meets the rules within six months. It also mentioned its intentions to stop TikTok from sending data to China if it does not adhere to the rules set at that time.

Sharpen your strategy with mentorship + daily ideas - 30 days free access to our trading program