Twitter joins long list of tech firms ‘Unprepared’ to face tough new EU digital rules

Twitter is among the tech companies that will face the toughest level of scrutiny under a new EU regulatory regime to monitor digital platforms, after warnings from Brussels that the Elon Musk-owned platform is not ready for the new rules.

The company, which Musk bought in October 2022, is designated as a “very large online platform” under the block’s Digital Services Act, which means complying with measures such as publishing an independent review of its compliance with the legislation.

It will be joined by 16 other major names including YouTube, Facebook, Instagram, Wikipedia, Snapchat and TikTok.

Twitter has been warned repeatedly that it is not ready for the new rules, with violations risking a fine of 6% of global turnover and, in extreme cases, a temporary suspension of service. Under Musk’s ownership, Twitter has reduced its workforce from 7,500 people to about 1,500, leading to concerns that its standards of moderation and its ability to comply with the law will suffer as a result.

In November of last year, EU Commissioner for the Internal Market Thierry Breton indicated that Twitter was in danger of not complying with the law, and told Musk that the company would have to ramp up its efforts to “pass the grade.” Breton added that Musk has “huge work ahead” of DSA compliance. However, a readout of the November meeting with Musk added that the Tesla CEO is “committed to compliance” with the DSA.

In January, Bretton again urged Musk to “progress toward full DSA compliance,” and Musk responded that the DSA’s goals for transparency, accountability, and accurate information were in line with those of Twitter.

Under the big platforms’ rules, they must conduct annual risk assessments that identify harmful content risks such as misinformation, misogyny, harm to children, and election manipulation. The moderation regimes and measures put in place to mitigate these risks will also be examined by the EU.

Large platforms will also have to publish an independent review of their DSA compliance, as well as the number of people they employ to moderate content. They should also provide details of their algorithms and allow independent researchers to monitor compliance with the law.

The platforms will also be prohibited from creating profiles of child users for companies to target them with ads. Those platforms that are accessible to minors must also take measures to protect their privacy and maintain their safety. Users should also be able to easily report illegal content.

The European Commission, the European Union’s executive arm, confirmed Twitter’s classification as a VLOP on Tuesday, while Google and Microsoft Bing will also have to comply with similarly stringent regulations after being classified as “very large search engines”. Technology platforms must reach at least 45 million monthly active users in the EU in order to designate VLOPs or VLSEs.

There are also regulations for smaller platforms such as posting transparent terms and conditions.

Breton said on Tuesday that the “countdown has begun” for companies designated under the law with special status. “Today is D(SA) Day for Digital Regulation,” he said.

Guillaume Couneson, a partner at law firm Linklaters, said complying with the terms of the VLOP and VLSE was a “challenge for everyone,” not just Twitter. Designated companies now have four months to comply with the obligations of the law, including their first annual risk assessment.

“It’s not a long period of time to implement the rigorous and in some cases burdensome commitments,” Conson said.

DigitalFacefirmsjoinsListlongRulestechtoughTwitterUnprepared