Elon Musk, the CTO and chairman of X, recently accused the European Commission of offering the social media platform an “illegal secret deal” during a probe under the Digital Services Act (DSA). Musk claimed that the EC proposed that X censor speech quietly in exchange for avoiding fines in the EU, a deal that other platforms reportedly accepted but X refused.
The EC’s investigation findings revealed that X was non-compliant in key transparency areas, including dark patterns, advertising transparency, and data access for researchers. The report highlighted issues with the platform’s “Blue checkmarks” and verified accounts, stating that they can be easily obtained by anyone and are often misused by malicious actors.
Furthermore, X was criticized for not providing a searchable and reliable advertising repository, as well as imposing barriers that hinder supervision and research on potential risks. The platform’s terms of service ban scraping, and its API access process discourages researchers from utilizing the data due to high fees.
In response to the preliminary findings, the EC stated that X has the opportunity to defend itself in writing and consult further with the European Board for Digital Services. The final decision on potential fines, which could amount to 6% of X’s global annual turnover, has yet to be determined. X may also face enhanced supervision and penalty payments to continue operating in the EU.
Musk expressed X’s readiness to engage in a public court battle over the matter, emphasizing the platform’s refusal to accept the alleged illegal deal proposed by the European Commission. As the situation unfolds, stakeholders await the final decision and its implications for X’s operations in the EU.