Elon Musk’s social media site X faces a hefty fine for failing to police dangerous content, the latest in a crackdown by European Union regulators on big tech companies.
The committee announced in December that it would investigate X over the spread of illegal content and misinformation linked to the war between Israel and Hamas.
The European Commission, the European Union’s competition watchdog, plans to file formal charges against Company X within days, Bloomberg reported, citing people familiar with the matter.
Thierry Breton, the EU’s internal market commissioner, is due to present his preliminary findings by July 25.
If the EU takes formal action against Company X, the company could be fined up to 6% of its worldwide revenue.
Because X is a privately held company, it’s unclear how much money is at stake.
EU authorities say X may have violated the Digital Services Act, a sweeping set of rules that came into force last August and requires big tech companies to moderate content, protect user privacy and address risks to the public.
Meta, the parent company of TikTok and Instagram, is also under investigation.
“Formal proceedings against X are still ongoing,” a Commission spokesperson said. “The DSA has not set a time limit for the formal proceedings. The Commission will make a decision after thoroughly assessing all relevant and necessary information collected and following due process.”
The Post has contacted X for comment.
Musk acquired Company X, formerly known as Twitter, for $44 billion in late 2022.
He led a major overhaul of the company, moving to a subscription-based model as X faced an exodus of advertisers wary of the billionaire’s lax approach to content moderation.
The European Union has in recent months stepped up its crackdown on potential violations of the DSA and another key competition law, the Digital Markets Act, which came into force in March and sets out rules regulating the behavior of technology companies considered internet “gatekeepers.”
Earlier this month, authorities accused Meta of violating the Digital Markets Act by forcing a restrictive “pay or agree” model on customers for advertising on Instagram and Facebook.
A week ago, the EU filed a lawsuit against Apple for throttling developers in the App Store.
Both companies face billions of dollars in fines if found to be in violation of the law.