- author, Falea Massoud
- role, BBC Business Correspondent
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Elon Musk’s social media site X has been accused by the European Union of breaching online content rules, with claims that its “verified” blue tick accounts could be “misleading” to users.
EU IT regulators said users could be fooled into thinking the identity of someone with a blue tick has been verified, when in fact anyone can pay to have the blue tick. They said they had found evidence that “bad actors” were abusing the system.
The investigation was launched under the EU’s Digital Services Act (DSA).
This could result in Company X being fined up to 6% of its annual worldwide turnover and being forced to change the way it operates within the European Union.
Musk responded angrily: “DSA is misinformed.” He wrote to X.
The billionaire, who bought the platform for $44 billion in 2022, said the DSA’s rules amount to “censored speech.” He said it was unacceptable.
X’s CEO, Linda Yaccarino, also defended the company’s practices.
“A democratised system where everyone across Europe can be recognised is better than only a privileged few,” she wrote on the social media site.
The findings are the result of a seven-month investigation under the DSA.
The law, introduced in 2022, requires big tech companies like X to take steps to block illegal content and protect the public.
The European Commission said that its investigation into Company X found a lack of transparency regarding its advertising and that Company X had not provided research data as required by EU regulations.
“In particular, X prohibits qualified researchers from independently accessing public data, including by scraping, as described in its terms of use.” The Committee.
The tech regulator also said the way X designed and operated its interface for blue-check verified accounts “does not conform to industry practices and is misleading to users.”
“Anyone can sign up and obtain this ‘verified’ status, which negatively impacts users’ ability to make free and informed decisions about the authenticity of accounts and the content they interact with,” the company said.
“There is evidence that malicious actors are abusing ‘verified accounts’ to try to deceive users,” it added.
The Commission said Company X could either defend itself against the findings or resolve the issues by committing to making changes that would bring it into compliance.
Responding to Musk’s allegations that the committee had proposed “illegal secret deals,” it added that any such deals would be made public.
“In the past, the blue check stood for a trusted source of information,” said Thierry Breton, the internal market commissioner.
“With regard to X, our preliminary view is that it is misleading users and infringing the DSA.”
“Company X currently has a right of defence, but if our position is confirmed we will likely impose fines and require significant changes.”
The European Commission hit back at Musk’s censorship accusations, saying its rules aim to ensure “a safe and fair online environment that respects the rights of European citizens, in particular the freedom of expression”.
The company said the rules include that the company must notify users when their accounts are restricted and that banned users can appeal the decision.
The European Commission said it was continuing to investigate X’s practices regarding the distribution of illegal content and how effectively it was combating the spread of fake news.