The European Commission has fined Elon Musk’s social platform X €120 million for failing to meet obligations under the bloc’s Digital Services Act (DSA), the first non-compliance penalty issued under the new law.
The Commission found that X’s design and practices put users at risk of impersonation, reduced transparency around advertising, and obstructed independent research into the platform’s public content.
Investigators identified three core problems. The Commission said X’s paid verification system did not meaningfully prevent impersonation and could mislead users about identity. It also concluded that X’s advertising repository, a central requirement of the DSA intended to make ads and their sponsors visible, did not provide the required level of detail and was difficult to access. Finally, the Commission found that X had created unnecessary barriers to qualified researchers seeking to analyse public platform data.
The probe into X ran for roughly two years. Under the DSA, the Commission has ordered X to correct the breaches within a set period, reported as between 60 and 90 working days depending on the specific issue, or face further steps.
The DSA allows for much larger penalties for severe or repeated violations, including fines of up to 6% of a platform’s global annual turnover.
The ruling prompted immediate pushback from Washington. Senior U.S. officials publicly criticised the decision, and Elon Musk took to the platform to reject the Commission’s findings. Brussels responded by stressing that the action is focused on user protection and transparency rather than content control.
Legal avenues remain. X can seek review of the Commission’s decision in the European courts, and the company may choose to make the behavioural changes the Commission has outlined to avoid escalated sanctions.
The DSA, which sets new responsibilities for large online platforms operating in Europe, has been in force in recent years; this penalty demonstrates the Commission’s willingness to use its full powers to secure compliance.
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