Big Tech Companies Accused of Violating EU's Transparency Laws
Two major technology corporations from the United States are under scrutiny from the European Union (EU). These companies are suspected of violating the transparency regulations established by the EU's groundbreaking tech law, known as the Digital Services Act (DSA).
The EU's executive body, the European Commission, has made preliminary findings that these tech firms failed to provide researchers with "adequate access" to public data, a requirement under the DSA. Moreover, these companies, which operate popular social media platforms, are also suspected of not implementing simple mechanisms for users to flag illegal content and contest content moderation decisions.
The Digital Services Act's Role in Regulating Big Tech
The DSA is part of a suite of EU legislation aimed at regulating Big Tech and ensuring that these powerful corporations don't abuse their influence. The European Commission is also actively conducting investigations under another key law, the Digital Markets Act.
One of the tech companies under investigation has voiced its disagreement with the findings. They argue that they have not violated the DSA and are actively discussing these matters with the European Commission. They have stated that they've made significant changes to their content reporting options, appeals process, and data access tools in the EU since the DSA's enforcement. They are confident that these changes align with the EU's legal requirements.
Response from Under-Investigation Companies
The second tech company involved has emphasized its commitment to transparency and the vital role of researchers in the social media industry. The company claims to have made significant investments in data sharing, with almost 1000 research teams having access to data through their Research Tools.
However, they have expressed concerns over the tension between the DSA and the General Data Protection Regulation (GDPR). They argue that fulfilling the requirements of both regulations might not be feasible and have called upon regulators to provide clarity on how these obligations should be reconciled.
The Importance of Data Access for Researchers
According to the EU, it is essential for researchers to have access to social media platforms' data. This access allows the public to examine any potential physical or mental health impacts of technology.
However, the European Commission's initial findings suggest that these tech companies may have established cumbersome procedures and tools for researchers requesting access to public data. As a result, researchers often receive partial or unreliable data, which could hinder their ability to investigate matters such as exposure to illegal or harmful content, particularly for underage users.
Potential Consequences for Non-Compliance
The tech companies under investigation have been invited by the European Commission to review its findings and respond in writing. If these preliminary findings are confirmed, the Commission has the authority to issue a non-compliance decision, which could result in a significant financial penalty. This fine could amount to 6% of the total global annual turnover, a substantial sum for these tech companies.
These tech giants have faced similar challenges in the past. For instance, one faced a hefty fine for issues related to user consent for data collection under the Digital Markets Act. The other was penalized by the data protection authority in Ireland for transferring data to China.
These ongoing investigations underline the EU's commitment to holding Big Tech accountable and safeguarding user data and transparency.