It is reported that the Digital Services Act (DSA) of the European Union came into effect in part on Friday, August 25th. The law aims to build digital services to “create a safer digital space and protect users’ basic rights”.
DSA is one of the two major digital supervision projects in Europe. It is accompanied by the Digital Market Law, which aims to protect the data security of European users and promote fair competition. In July, seven companies were designated as such companies (Apple, Amazon, Google, Microsoft, Facebook, ByteDance and Samsung). The law will apply from March 2024.
DSA will supervise all “online platforms and intermediaries” in the EU. The list includes social networks, content sharing platforms, search engines, markets (markets connecting third-party sellers and buyers), mobile application stores and even booking websites, travel and accommodation platforms, etc.
The list includes twelve companies. Google appeared on the list five times, including its search engine, Google App Store, Google Maps, Google Shopping Service and YouTube. Meta’s Facebook and Instagram are also on the list. Microsoft is Bing search engine and LinkedIn. Apple and its App Store, Amazon, Twitter (now called X), Snapchat, Pinterest and Wikipedia are also on this list. There are also two China softwares: TikTok and AliExpress. There are also Booking in the Netherlands and Zalando in Germany.
The law stipulates a series of obligations of large social and shopping platforms. These platforms must comply with new obligations in dealing with hate or illegal content and false information. They must establish a content reporting mechanism to prove the rationality of their audit decisions and allow users to appeal. They must also open data access to EU researchers so that they can study their functions and risks.
These platforms must explain their recommendation systems to users and allow them to disable these algorithms. Targeted advertisements targeting minors or sensitive data such as ethnic origin, sexual orientation or religious beliefs are no longer allowed. In order to improve transparency, each service must establish a database containing all advertisements played in Europe and the positioning standards used.
The platform must also control the identity of third-party sellers on its platform. Once illegal or counterfeit products are found, they are obliged to inform the buyer immediately. And there must be a mechanism that allows shoppers to report suspicious products. The platform must now randomly check the products sold on its website.
According to DSA, the European Commission is the main regulator. It is responsible for monitoring and imposing sanctions when necessary. Each country must appoint a coordinator to liaise with other member States. A Council will bring the 27 coordinators together. He will arbitrate potential conflicts.
Companies that do not comply with DSA will face a fine of up to 6% of their global turnover. This bill allows the Committee or the national coordinator to require the company to take immediate corrective measures. Companies that refuse to comply with the regulations may face the risk of their prohibited activities in the EU.
Post time: Sep-11-2023