Europe’s Digital Services Act Comes Online

The EU’s Digital Services Act (DSA) has come into effect, putting transformational restrictions on 19 “very large platforms.” That's good news for users, and leaves the US in its wake.

The new law's objective is to protect user privacy, community well-being, and societal cohesion. With companies reprogramming their platforms to abide by the rules, it's anticipated that US legislators may try to introduce a similar framework, says TheFutureParty.

If you’re in Europe, the good news is that any platform with more than 45 million monthly users will have to operate under some very different rules than their businesses in the US.

Here’s what companies need to adhere to under the DSA:

Platforms have to prevent or remove posts featuring illegal goods, services, or content while letting users report the posts when they see them.

It limits the scope of targeted advertising based on personal details like politics or ethnicity and restricts ads targeted to kids.

It requires platforms give users transparency on how their algorithms work, while allowing users to opt out of personalized algorithms.

It also ensures platforms share data with authorities and researchers and be ready to respond to crises (like acts of terrorism or climate disasters).

What's the penalty? If the platforms don’t follow the rules, they could be fined up to 6 percent of their global revenue, with repeat offenders facing potential suspension in the EU. In other words, Big Tech just got some major guardrails for the benefit of its users.