The European Union (EU) is entering the final stages before issuing its first fine against billionaire Elon Musk’s social network X, after two years of investigation under the Digital Services Act (DSA).

Barring major international political upheaval or other urgent priorities, a decision could be announced in the final weeks of this year.

The investigation into X began in December 2023, when the platform became the first to be subject to the EU’s stringent DSA framework. The new law requires very large platforms to better control harmful content, increase advertising transparency, and take clearer responsibilities to users, especially regarding access to information and online safety.

By July 2024, the European Commission (EC) had published its preliminary findings, finding that X had breached several obligations under the DSA and was facing the risk of being fined. The timing of the conclusion of the investigation and the issuance of the fine remained confidential, partly due to the complex political and foreign context.

Social network icon X – Photo: AFP
On the international front, the Trump administration has repeatedly accused the EU of “playing dirty” with American tech companies through digital laws and massive fines. Washington has repeatedly criticized Brussels for targeting “giants” like Google, Meta, and Apple, including a nearly 3 billion euro (about 3.5 billion USD) fine against Google last September.

Recently, US Commerce Secretary Howard Lutnick also publicly called on the EU to “reconsider” its digital law if it wants the US to consider reducing steel tariffs, while urging Brussels to quickly resolve outstanding investigations.

EU leaders have insisted that US statements will not change the way they apply European law on their territory.

According to analysts, the EU tends to “close the X file” and make a decision in 2025, unless the situation in Ukraine or other geopolitical events force the bloc to consider delaying to avoid escalating diplomatic tensions.

The fine for X has yet to be determined. According to the DSA, a platform that violates the law can be fined up to 6% of its annual global turnover. The complication is that the EU will have to determine the “service provider” in this case: just X or the entire “business ecosystem” that Elon Musk controls, including electric carmaker Tesla and others. If the scope of the calculation is expanded, the fine will increase significantly.