Since Feb. 18, the Digital Services Act (DSA) has applied to all “online intermediaries” operating in the EU. However, those with fewer than 50 employees and less than €10.0 million ($10.8 million U.S.) in annual revenue will continue to be exempt. 

As a result, this legislation now applies to many large and medium-sized marketplaces operating in the EU. 

According to the DSA, affected companies must

  • Provide mechanisms that enable users to flag illegal content 
  • Offer increased transparency for moderation decisions 
  • Enable users to opt out of personalized content 
  • Make businesses that use online marketplaces traceable 
  • Apply age verification and protection measures for children 
  • Implement measures to protect electoral integrity 

Moreover, they are prohibited from advertising to minors or targeting ads based on such categories as ethnicity or sexual orientation. 

These rules were first introduced in August 2023, but until now, they had only applied to 19 Very Large Online Platforms that reach more than 10% of the EU’s population. These include Amazon, Apple AppStore, LinkedIn, YouTube, Facebook, Instagram, Google Maps, Google Play, Google Search and TikTok. 

Thierry Breton, EU commissioner for Internal Market, commented: “We are fully mobilised to ensure full implementation of the DSA, and we encourage all Member States to make the most out of our new rulebook. Effective enforcement is key to protect our citizens from illegal content and to uphold their rights.”

According to Margrethe Vestager, executive vice-president of a Europe Fit for the Digital Age, “Member states and platforms can now use the tools under the DSA to shape a safer and more transparent online world.”

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