Google, Facebook, TikTok and other Big Tech companies operating in Europe are facing one of the most far-reaching efforts to clean up what people encounter online.
More than a dozen of the world's biggest tech companies face unprecedented legal scrutiny, as the European Union's sweeping Digital Services Act (DSA) imposes new rules on content moderation, user privacy and transparency this month.
Across the EU, a host of internet giants – including Meta's
Facebook and Instagram platforms, Chinese-owned video app TikTok and a handful
of Google services – are adapting to the new obligations, including preventing
harmful content from spreading, banning or limiting certain user-targeting
practices, and sharing some internal data with regulators and associated
researchers.
The EU is seen as the global leader in tech regulation, with
more wide-ranging pieces of legislation – such as the Digital Markets Act and
the AI Act – on the way. The bloc's success in implementing such laws will
influence the introduction of similar rules around the world.
But researchers have raised questions over whether these
companies have done enough to meet lawmakers' expectations.
For now, the rules only apply to 19 of the largest online
platforms, those with more than 45 million users in the EU. From mid-February,
however, they will apply to a variety of online platforms, regardless of size.
Any firm found in breach of the DSA faces a fine worth up to
6 percent of its global turnover, and repeat offenders may be banned from
operating in Europe altogether.
Reuters asked each company designated under the DSA to
discuss changes they had made. Most pointed to public blog posts on the matter,
declining to comment further, or did not respond at all.
Two of the companies singled out for early regulation –
e-commerce giant Amazon and German fashion retailer Zalando – are currently
challenging their inclusion on the list in court.
"We can expect that platforms will fight tooth and nail
to defend their practices," said Kingsley Hayes, head of data and privacy
litigation at law firm Keller Postman. "Especially when new compliance
rules encroach on their core business models."
Over the past few months, the European Commission said it
had offered to conduct DSA "stress tests" with the 19 platforms.
Such tests assessed whether these platforms could
"detect, address and mitigate systemic risks, such as
disinformation," a Commission spokesperson said.
At least five platforms have participated in such tests --
Facebook, Instagram, Twitter (now X), TikTok and Snapchat. In each case, the
Commission said more work was needed to prepare for the DSA.
Now, just as the rules come into effect, research published
on Thursday by nonprofit Eko shows Facebook was still approving online ads
containing harmful content.
The organization submitted 13 ads containing harmful content
for approval, including one inciting violence against immigrants and another
calling for the assassination of a prominent Member of the European Parliament
(MEP).
Eko said Facebook approved eight of the submitted ads within
24 hours and rejected five. Researchers removed the ads before they were
published, so no Facebook users saw them.
In response to the Eko research, Meta said, "This
report was based on a very small sample of ads and is not representative of the
number of ads we review daily across the world."
This year Global Witness, another nonprofit, claimed
Facebook, TikTok and Google's YouTube had all approved ads inciting violence
against the LGBT (lesbian, gay, bisexual and transgender) community in Ireland.
Responding to the Global Witness research, both Meta and
TikTok said at the time that hate speech had no place on their platforms, and
that they regularly review and improve their procedures. Google did not respond
to a request for comment.
Tricky business
While none of the designated companies have said they will
disobey the DSA, Amazon and Zalando have disputed their inclusion on the list.
In July, Amazon filed a legal challenge with the
Luxembourg-based General Court, Europe's second highest, arguing that bigger
rivals in these countries had not been designated.
It has still introduced a number of new features as part of
its DSA compliance programme, such as a new channel for users to report
incorrect product information.
Fashion retailer Zalando launched a similar legal challenge,
arguing that because only 31 million monthly active users bought from
third-party sellers on its platform, it fell below the 45 million user
threshold.
It will soon become obvious if any of the designated
companies had "skirted their legal responsibilities," said Hayes.
"Ironing these obligations out will be a tricky business for any platform
with a large user base." © Reuters