Europe’s Digital Services Act comes online

The EU puts guardrails on Big Tech

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The Future. The EU’s Digital Services Act (DSA) went into effect last Friday, putting transformational restrictions on 19 “very large platforms.” The legislation is meant to protect user privacy, community well-being, and societal cohesion. With companies reprogramming their platforms to abide by the rules, US legislators may try to pass a similar framework, highlighting how the necessary changes are already a working reality.

Abort the algo
If you’re in Europe, any platform with more than 45 million monthly users will have to operate under some very different rules than their businesses in the US.

Here’s what companies need to abide by under the DSA:

  • Platforms have to prevent or remove posts featuring illegal goods, services, or content while letting users report the posts when they see them.
  • It limits the scope of targeted advertising based on personal details like politics or ethnicity and restricts ads targeted to kids.
  • It requires platforms give users transparency on how their algorithms work, while allowing users to opt out of personalized algorithms.
  • It also ensures platforms share data with authorities and researchers and be ready to respond to crises (like acts of terrorism or climate disasters).

If the platforms don’t follow the rules, they could be fined up to 6% of their global revenue, with repeat offenders facing potential suspension in the EU.

In other words, Big Tech just got some big guardrails.


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