DSA: Obligations and oversight of top online platforms entered | News item

News item | 8/25/2023 | 08:30

From Friday, August 25, 2023, the 19 largest online platforms and search engines must comply with the strictest obligations of the new Digital Services Act (DSA). For example, they must target illegal content and disinformation, adapt their recommendation systems and be transparent about online advertising through their platforms. It concerns, among other things Apple, Google, meta (Facebook and Instagram), X (formerly Twitter), but also about the platforms AliExpress, Booking.com and snapchat. The latter three operate (legally) from the Netherlands in Europe.

The strictest EU obligations now only apply to the 19 largest digital services. They have an average of more than 45 million active users per month. These platforms and search engines are required to conduct annual assessments of the so-called systemic risk of malicious online practices on their services. Examples include the distribution of illegal goods or content and the dissemination of disinformation via their services. They must take measures against this. They also receive checks on their used algorithms.

If these very largest platforms and search engines fail to comply with the DSA, fines of up to 6% of their global annual turnover or penalty payments of up to 5% of their average daily revenue can be imposed by the European Commission.

DSA also applies to other online services and platforms from February 2024

The DSA will also apply to other online marketplaces, social networks, search engines, cloud providers, internet providers and platforms for sharing content such as video platforms and online travel and accommodation platforms that are widely used in the Netherlands and Europe.

For example, online marketplaces must collect and publish more information about the companies (traders) on their platform. Digital services must also explain, among other things, the rules for deleting information or user accounts in more detail to users. By 17 February 2024, all brokering services must fully comply with the EU-wide DSA.

Responsibility and accountability digital services

The Netherlands has pleaded for various parts to be included in the DSA. For example, online marketplaces will soon have to collect more information about the companies (traders) that sell products or services via their platform. This should help to discourage and identify rogue traders, remove unfair competition and make it easier for consumers to get justice.

The DSA will also soon oblige providers of digital services to take into account the fundamental rights of users when moderating content and to inform them more extensively about this. They must also have easily accessible and user-friendly complaint procedures for users.

Tackling unwanted personalized advertisements and disinformation

The DSA prohibits online platforms from personalizing advertisements on the basis of, for example, religious beliefs or sexual orientation. Minors will soon also have extra protection against personalized advertisements. This should help ensure that they do not see inappropriate advertising.

In addition, the DSA also offers the opportunity to better protect citizens against disinformation, fake news and violations of fundamental and human rights. The very largest online platforms and search engines must take measures to reduce the risks of their services for society and democracy, among other things. In addition, the DSA promotes transparency. By better regulating reporting obligations and access to data for researchers, we gain more insight into how large platforms work.

Large companies pay their own levy for supervision

From August 25, 2023, the European Commission will monitor compliance with the DSA by the largest online platforms and search engines. The companies themselves pay for this supervision through a levy. Member States are responsible for overseeing the other online services.

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