European Parliament accepted The Digital Markets Act (DMA) and the Digital Services Act (DSA) regulate tech giants in the areas of privacy, algorithms and competition.
Digital services: Parliament has adopted landmark rules to create a safer, open online environment. Press release: https://t.co/LW4xOB8dcx pic.twitter.com/NwHkG2eL3o
— European Parliament (@Europarl_EN) July 5, 2022
The Digital Services Act focuses on the activities of online platforms like Facebook, Amazon and Google. They will be required to fight malicious content and the sale of illegal or unsafe goods.
Users will also be able to find out how and why the recommendation system showed them a certain piece of content and challenge any decision of the algorithmic moderators.
Companies will not be able to use sensitive data to target ads, show ads to children, or use dark patterns in website and app interfaces.
The largest number of commitments will affect large platforms with a monthly audience of 45 million or more users. They may additionally be subjected to independent audits, as well as be forced to open access to algorithms to authorities and approved researchers to study potential harm.
The Digital Markets Act focuses on fair competition between large platforms like Google, Microsoft, and Apple and smaller ones. DMA is intended to provide better compatibility with smaller services that send files between systems.
Also, tech giants will no longer be able to promote their products and services on their own platforms to the detriment of third-party offerings and complicate the process of removing pre-installed applications.
The DMA will become effective six months after publication. The DSA will take effect on January 1, 2024.
Violators face a fine of 10% of the annual turnover. For repeated non-compliance, this figure will increase to 20%.
Recall that in April the European Union reached an agreement on the adoption of the Law on Digital Services.
In May, Elon Musk, who announced the purchase of Twitter, supported the EU’s initiative to regulate social networks.
In June, the European Union updated rules to combat disinformation and deepfakes on the Internet.
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