Screenshot of Elon Musk's post on X reacting to EU fine.

X Blocks EU Commission Ads After €120M DSA Fine

Key Takeaways

  • X was fined €120 million by the European Commission for violating the Digital Services Act.
  • Elon Musk responded to the fine by calling it “Bullshit” on X.
  • X’s head of product, Nikita Bier, accused the Commission of exploiting ad formats.
  • The European Commission’s ad account was closed by X, though it hadn’t been used since 2021.

X’s Reaction to the Fine

X, formerly known as Twitter, faced a significant penalty from the European Commission, amounting to €120 million. This fine was imposed for violations of the Digital Services Act (DSA), marking the first instance of such a penalty under the law.

Elon Musk, known for his outspoken nature, reacted by posting “Bullshit” on X, reflecting his disapproval of the Commission’s decision.

Accusations of Exploitation

Nikita Bier, X’s head of product, accused the European Commission of manipulating ad formats to increase the reach of their announcement about the fine. Bier claimed that the Commission used a post format meant for ads to deceive users into thinking a link was a video, thereby artificially boosting its visibility.

Impact of Ad Account Closure

In a seemingly retaliatory move, X shut down the European Commission’s ad account. However, this action is unlikely to have a significant impact, as the account had not been active since 2021. Consequently, this closure does not provide X with any leverage over the Commission.

Future Obligations for X

Despite the current situation, X remains responsible for the hefty fine. Additionally, the company is required to submit plans within 60 days to address the “deceptive” use of verified checkmarks, or it may face further penalties.

FAQ

What was X fined for?

X was fined €120 million by the European Commission for violating the Digital Services Act.

How did X respond to the fine?

Elon Musk responded by posting “Bullshit” on X, and the company subsequently shut down the European Commission’s ad account.

Has the European Commission used its ad account recently?

According to X’s head of product, the European Commission had not used its ad account since 2021.

Summary

The conflict between X and the European Commission highlights the complexities of regulatory compliance and corporate responses. Businesses managing their own systems must remain vigilant about legal obligations and the potential repercussions of non-compliance, ensuring they have strategies in place to address any regulatory challenges.

Source: X cuts off the European Commission’s ad account after being fined €120 million – theverge.com

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