Businessman Elon Musk decided to appeal to the European Union Court against the fine of 120 million euros imposed on the social network X under the bloc’s Digital Services Act (DSA). The penalty, which was announced against the platform by the European Commission in December last year, was the first imposed based on the new legislation and is now the subject of challenge in the General Court of the European Union.
OX filed the appeal on February 16th. The company argues that the Commission’s decision resulted from an “incomplete and superficial” investigation, marked by “serious procedural errors” and “systematic violations of the rights of defense”, in addition to suggesting “accusatory bias” on the part of European authorities.
According to the European Commission, the fine was imposed for alleged violations of transparency obligations set out in the DSA. Among the points cited for imposing the punishment are the blue seal verification sales model, which, according to the agency, can mislead users by not making it clear which accounts were actually verified, failures in the transparency of advertisements displayed on the platform and limitations on researchers’ access to public data, required by legislation to monitor risks such as “misinformation and illegal content”.
OX denies the allegations and says the case could set precedents for how fines are calculated and how fundamental rights are protected under the DSA. In a statement, the platform classified the action as the “first judicial challenge” against a sanction applied under the new European law.
A spokesperson for the European Commission told the agency AFP that the body is aware of the appeal and is “ready to defend its decision in court”.
The dispute comes amid growing tensions between Brussels and Musk’s company. Since the DSA came into force for large digital platforms, X has been the target of investigations into content moderation, advertising transparency and data access.
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