The European Commission (EC) has announced the conclusion of its 2024 investigation into X, imposing a fine of €120 million (approximately $140 million). The EC found that the platform's blue checkmark was misleading because it suggested a user was verified, while in reality, anyone could pay to obtain the status without meaningful verification of the account holder's identity.
This practice violates the EU’s Digital Services Act (DSA), which requires online platforms to avoid deceptive design practices.
In addition to the blue checkmark issue, the fine addresses X’s ad repository, which fails to comply with the DSA’s transparency and accessibility requirements. According to the EC, accessible and searchable ad repositories are essential for researchers and civil society to identify scams, disinformation campaigns, coordinated operations, and fraudulent advertisements.
X’s ad repository features design flaws and access barriers, such as excessive processing delays, which undermine its effectiveness. Moreover, critical details like the content, topic of the ads, and the legal entities funding them are missing.
The EC also criticized X for restricting researchers’ access to its public data, another DSA obligation. X’s terms of service prohibit eligible researchers from independently accessing this data, including through scraping, and impose unnecessary barriers that hinder research into systemic risks within the EU.
X now has 60 working days to notify the EC of specific measures it will take to address the blue checkmark violation, and 90 days to respond regarding the ad repository and data access concerns. Following this, the EC’s Board of Digital Services will review the action plans within one month, after which the Commission will issue a final decision and establish a reasonable implementation timeline.
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