EU Commission Decides Musk's X is Not a 'Gatekeeper' Under Digital Markets Act
Elon Musk has achieved a notable victory in Brussels as the EU Commission has ruled that X, the microblogging platform majority-owned by him, is not classified as a central platform service under the Digital Markets Act (DMA). Consequently, the platform formerly known as Twitter does not need to adhere to the Act's stringent competition rules governing digital services. These 'gatekeepers' are required to ensure interoperability of messaging services and cannot favor their own products or services.
Investigation and Arguments on X's Status
The EU Commission initiated a market investigation regarding X's status under the DMA on May 13, reviewing the platform's self-submitted application as a potential 'gatekeeper' along with Musk's counterarguments. Musk's company argued that X should not be viewed as a crucial gateway for businesses to reach consumers, despite meeting the quantitative thresholds outlined in the DMA.
Follow-up After Thorough Evaluation
After a comprehensive evaluation of all arguments, the EU Commission largely aligned with X's standpoint, concluding that X does not serve as a significant gateway for business users to access end-users. This decision involved input from relevant stakeholders and discussions with the Advisory Committee for Digital Markets. The Commission will continue to monitor developments and adjust its stance should significant changes occur. An updated version of the decision will soon be available on the official DMA website.
Implications Under the Digital Services Act
While the EU Commission has not classified X as a gatekeeper under the DMA, the platform still faces scrutiny. It is under investigation for potential violations of the guidelines set out by the Digital Services Act (DSA). If found non-compliant, X could face severe penalties. Recently, Musk engaged in a heated exchange with former EU Commissioner Thierry Breton over freedom of speech limits on the platform.
For more detailed information, refer to the original article by Heise Online here.