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- The Digital Services Act (DSA) is a landmark European Union law designed to create a safer digital space for users and hold online platforms accountable for illegal and...
- The DSA aims to address the evolving challenges posed by the digital landscape, including the spread of illegal content, disinformation, and harmful products.
- For example, VLOPs like Meta (Facebook, Instagram) and X (formerly Twitter) are required to conduct risk assessments, implement measures to mitigate systemic risks such as the spread of...
What is the Digital Services Act?
Table of Contents
The Digital Services Act (DSA) is a landmark European Union law designed to create a safer digital space for users and hold online platforms accountable for illegal and harmful content. Officially adopted on October 4, 2022, the DSA establishes a thorough set of rules for online intermediaries, ranging from social media networks to online marketplaces.
The DSA aims to address the evolving challenges posed by the digital landscape, including the spread of illegal content, disinformation, and harmful products. It introduces a tiered system of obligations based on the size and risk profile of online platforms. Very Large Online Platforms (vlops) and Very Large Online Search Engines (VLOSEs) – those with over 45 million active users in the EU – face the most stringent requirements.
For example, VLOPs like Meta (Facebook, Instagram) and X (formerly Twitter) are required to conduct risk assessments, implement measures to mitigate systemic risks such as the spread of illegal content and manipulation, and provide greater openness to users and researchers. as of February 17, 2024, 22 platforms were designated as vlops and VLOSEs, subject to the full DSA requirements.Source: European Commission
Key Provisions of the DSA
The DSA introduces several key provisions impacting how online platforms operate. These include rules regarding content moderation, transparency, user rights, and accountability.
- Content Moderation: Platforms must establish clear and clear procedures for removing illegal content,with users having the right to appeal decisions.
- Transparency: Platforms are required to provide greater transparency about their algorithms, advertising practices, and content moderation policies.
- User rights: Users gain more control over the content they see online, including the ability to report illegal content and challenge moderation decisions.
- accountability: The DSA introduces a system of fines for non-compliance, potentially reaching up to 6% of a platform’s global annual revenue.
- Illegal Goods: Platforms must take measures to combat the sale of illegal goods and services online.
A meaningful change is the “notice-and-action” mechanism, requiring platforms to swiftly remove illegal content once notified. The DSA also prohibits certain manipulative practices, such as dark patterns that trick users into making unintended choices.
On February 22, 2024, the European Commission opened investigations into X, TikTok, and Meta regarding potential breaches of the DSA related to the protection of the electoral process and the dissemination of illegal content. Source: European Commission
How Does the DSA Differ from the DMA?
The Digital Services Act (DSA) and the Digital Markets Act (DMA) are both EU laws aimed at regulating the digital sector, but they address different aspects. The DSA focuses on the safety of online platforms and the protection of users, while the DMA targets market dominance and aims to ensure fair competition.
The DMA, which came into force alongside the DSA, specifically targets ”gatekeepers” – large platforms that control access to digital markets. It prohibits these gatekeepers from engaging in anti-competitive practices, such as self-preferencing or preventing users from uninstalling pre-installed apps. The DMA’s goal is to create a more level playing field for smaller businesses and foster innovation.
As an example, the DMA requires messaging apps to interoperate, allowing users of different platforms to communicate with each other. The DSA, conversely, focuses on issues like illegal content and user safety across all platforms, irrespective of their market position. The European Commission designated six gatekeepers under the DMA on September 6,2023: Alphabet,Apple,Meta,Microsoft,Amazon,and bytedance. Source: European Commission
Enforcement and compliance
Enforcement of the DSA is primarily the responsibility of the European Commission, with assistance from Digital Services Coordinators in each EU member state. The Commission has the power to investigate potential breaches of the DSA, impose fines, and even order temporary bans on platforms.
Compliance with the DSA is a complex undertaking for online platforms, requiring significant investment in new technologies, processes, and personnel. VLOPs and VLOSEs are subject to annual reporting requirements, providing detailed details about their content moderation efforts, risk assessments, and advertising practices.
The first annual transparency reports from VLOPs were published in march 2024, revealing details about content moderation volumes, the prevalence of illegal content, and the measures taken to address systemic risks. These reports are intended to provide greater insight into how platforms are operating and to hold them accountable for their actions. The European Commission is actively reviewing these reports and assessing compliance with the DSA. Source: European Commission