BE: X is scamming users with verified accounts

2024-07-12 17:30:00, Kosova & Bota CNA

BE: X is scamming users with verified accounts

Verified account of Platform X owner Elon Musk. Photo from the archive.

Billionaire Elon Musk's Platform X is deceiving users with verified accounts and violating European Union content rules, Brussels said on July 12, a notice that could lead to hefty fines.

EU regulators are not happy with the account verification system at X, owned by Musk, as anyone with a premium subscription can verify an account. Previously, before Musk bought the platform — previously called Twitter — verified accounts were reserved for leaders, companies and journalists, after approval.

The official notice to Platform X is the first under the Digital Services Act (DSA), a law that forces digital companies to do more to control online content. The remark came after regulators launched an investigation in December last year.

X becomes the third company to face EU notices for breaching the new rules, after Brussels warned Apple and Meta to change the way they operate or face massive fines for breaching the second law known as Digital Markets Act (DMA).

But his plans for Company X have clashed with the EU, as the bloc wants big tech companies to do more to protect online users and increase competition in the digital sphere.

Now, the European Commission in its initial assessment of the X platform said the company is "violating" the DSA, arguing that the social network is "misleading" users with account verification rules.

"Since anyone can subscribe and receive 'verified' status, this has negative effects on users' ability to make free and well-informed decisions about the authenticity of the accounts and content they interact with," the statement said. .

"There is evidence that this motivates malicious actors to abuse 'verified accounts' to defraud users," the statement said.

The EC also accuses Company X of failing to comply with advertising transparency rules, as the company does not provide a "searchable and reliable" database. Also, the bloc says that Musk's company has not given researchers access to public data.

"X now has the right to defend himself. But if our assessment is confirmed, we will impose fines and demand major changes," said the EU's top digital official, Thierry Breton.

ALSO READ: What is the EU Digital Markets Act and how does it challenge the tech giants?
According to the DSA, fines can be up to 6 percent of a company's annual profits worldwide and force it to make changes to address violations.

X can analyze the EU's remarks and defend itself.

According to the rules, there is no time limit on how long an investigation can last.

X is one of the 25 largest online platforms with over 45 million monthly active users in 27 EU countries./REL