The Controversy Surrounding X’s Alleged Secret Deal with the European Commission

Elon Musk, the CTO and chairman of X, recently took to social media to make some shocking claims about the European Commission. According to Musk, the EC allegedly offered X an “illegal secret deal” to censor speech in order to avoid being fined in the EU. Musk made these claims in response to the EC’s investigation findings under the Digital Services Act, which highlighted areas where the platform does not comply with transparency standards.

The European Commission’s investigation found that X breached the DSA in several key areas, including dark patterns, advertising transparency, and data access for researchers. The report stated that X’s “Blue checkmarks” and verified accounts are deceptive, as anyone can obtain them, leading to abuse by bad actors. Furthermore, the platform lacks a searchable and reliable advertising repository and includes barriers that prevent proper supervision and research about risk. Eligible researchers are also being denied access to public data in compliance with the DSA, as X’s terms of service ban scraping and its API access process discourages researchers with high fees.

The preliminary findings of the investigation suggest that X could face hefty fines of up to 6% of its worldwide annual turnover for failing to comply with the DSA. In addition, the platform may have to make significant changes in order to continue operating in the EU. This could involve an enhanced supervision period and periodic penalty payments to ensure compliance with the regulations.

Despite the serious allegations and potential consequences, X has the opportunity to respond to the EC’s findings and present its case. The final decision has yet to be made, and X will have the chance to consult further with the European Board for Digital Services as part of the process. Musk has expressed X’s intention to fight this battle in court, indicating a potential legal showdown in the near future.

Overall, the controversy surrounding X’s alleged secret deal with the European Commission highlights the importance of transparency and compliance with regulatory standards in the digital services industry. The outcome of this dispute will have significant implications for X’s operations in the EU and could set a precedent for how other social media platforms are held accountable for their actions. It remains to be seen how X will navigate these challenges and whether it will be able to address the issues raised by the EC’s investigation.