The Digital Services Act (DSA): A New Chapter in European Regulation

The Digital Services Act (DSA) now fully enforced in the EU, aims to regulate digital platforms, ensuring they combat illegal content and maintain transparency. It affects a wide range of services, from social media to e-commerce, with stringent penalties for non-compliance.

Understanding the Digital Services Act (DSA) and Its Impact

The Digital Services Act (DSA), a landmark regulation by the European Commission, marks a significant shift in the digital landscape for companies providing intermediary services to European users. Enforced from February 17, 2024, this comprehensive framework aims to curb the spread of illegal content, such as hate speech, child pornography, terrorism, and disinformation online, while promoting transparency and accountability among digital platforms.

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Who Is Affected by the DSA?

Initially, in April 2023, European Commissioner Thierry Breton announced a list of major platforms, including e-commerce giants (Alibaba, AliExpress, Amazon, Booking.com), social networks (Facebook, Pinterest, LinkedIn, Snapchat, TikTok), and search engines (Google, Bing), that would be subject to the DSA. By December, adult content platforms like Pornhub, Stripchat, and XVideos were also added. The DSA now extends beyond these entities to encompass all companies offering "intermediary services" to European internet users, regardless of their geographical location.

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Timeline of the DSA's Implementation

Proposed by the European Commission in December 2020, the DSA was adopted by the European Parliament and the European Council in October 2022. The regulation became applicable to the aforementioned major platforms on August 25, 2023, and fully came into effect for all digital platforms on February 17, 2024.

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Key Provisions of the DSA

The DSA introduces several measures focusing on:

Combatting Illegal Content: Platforms are required to facilitate easy reporting of illegal content by users and respond swiftly to block such content. Designated "trusted flaggers" in various countries will have their reports prioritized.
Transparency Requirements: Platforms must disclose information about their advertising algorithms and are prohibited from using profiling for recommendations and targeting ads to minors.
Appeals and Cooperation with Authorities: Users must have avenues to appeal account suspensions or closures, and large platforms need to conduct annual independent audits under the European Commission's supervision to mitigate risks associated with harmful content.

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Penalties for Non-Compliance

The DSA empowers each EU member state to designate an independent "digital services coordinator" to enforce compliance within its jurisdiction. Non-compliant platforms face fines up to 6% of their global turnover and, in severe cases, can be banned from operating within the EU.

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