The EU has issued its first Digital Services Act (DSA) fine against X, penalizing the platform $140 million for failing to meet transparency requirements. US officials, including Vice President JD Vance and Secretary of State Marco Rubio, criticized the decision as an attack on American tech companies and free speech.
However, the European Commission stressed that the action is about transparency—not censorship. X was cited for misleading users with its paid blue checkmark system, lacking transparency in advertising, and denying researchers proper access to public data. These issues, the EU warned, expose users to scams, impersonation, and manipulation.
The investigation into X is ongoing and still includes concerns about illegal content and information manipulation. While the DSA allows fines up to 6% of a company’s global revenue, the EU said the imposed penalty was proportionate and aimed at enforcing compliance, not punishment.
European officials welcomed the decision as proof that tech platforms—regardless of their origin—must follow EU digital rules. Meanwhile, US leaders criticized Europe’s regulatory approach as overly restrictive toward American companies.
TikTok also reached commitments with the EU over its advertising practices, though it remains under investigation for other potential DSA violations.
