'Insane', "illegal secret deal" and …: How Elon Musk has responded to Europe's more than 100 million dollars fine on Twitter that has angered US government
The European Union has issued its first-ever fine under the landmark Digital Services Act , slapping Elon Musk 's X platform with a €120 million ($140 million) penalty for violating transparency rules. The European Commission announced that X breached regulations through its "deceptive design" of blue verification checkmarks, lack of advertising transparency , and failure to provide researchers access to public data.
Musk responded defiantly to the fine, claiming on X that European regulators had offered an "illegal secret deal" to avoid penalties if the platform "quietly censored speech without telling anyone." He stated that while other platforms accepted the arrangement, X refused. The billionaire also revealed the fine was imposed on him personally, not just the company, calling it "even more insane."
First Digital Services Act penalty targets X’s verification system
The EU's primary concern centers on X's blue checkmark system, which now indicates a paid subscription rather than verified identity. Under Musk's ownership, anyone can purchase verification status without meaningful identity confirmation, making it "difficult for users to judge the authenticity of accounts," according to the Commission. Regulators argue this exposes users to scams, impersonation fraud, and manipulation by malicious actors.
Executive Vice-President Henna Virkkunen stated that "deceiving users with blue checkmarks, obscuring information on ads and shutting out researchers have no place online in the EU." The investigation, launched two years ago, also found X's advertising repository lacks critical information such as who paid for advertisements, while the platform imposes barriers preventing independent researchers from accessing public data for studying systemic risks.
US officials clash with EU over tech regulation
The fine has triggered sharp criticism from American officials, with Vice President JD Vance posting that "the EU should be supporting free speech not attacking American companies over garbage." FCC Chairman Brendan Carr accused Europe of "taxing Americans to subsidize a continent held back by Europe's own suffocating regulations."
X now has 60 days to address the blue checkmark violations and 90 days to submit plans fixing advertising and data access issues. Failure to comply may result in additional periodic penalties. The Digital Services Act allows fines up to 6% of global annual revenue for violations. The Trump administration has pressured the EU to soften tech regulations, warning of potential trade retaliation over what it views as unfair targeting of US companies.
Musk responded defiantly to the fine, claiming on X that European regulators had offered an "illegal secret deal" to avoid penalties if the platform "quietly censored speech without telling anyone." He stated that while other platforms accepted the arrangement, X refused. The billionaire also revealed the fine was imposed on him personally, not just the company, calling it "even more insane."
First Digital Services Act penalty targets X’s verification system
The EU's primary concern centers on X's blue checkmark system, which now indicates a paid subscription rather than verified identity. Under Musk's ownership, anyone can purchase verification status without meaningful identity confirmation, making it "difficult for users to judge the authenticity of accounts," according to the Commission. Regulators argue this exposes users to scams, impersonation fraud, and manipulation by malicious actors.
Executive Vice-President Henna Virkkunen stated that "deceiving users with blue checkmarks, obscuring information on ads and shutting out researchers have no place online in the EU." The investigation, launched two years ago, also found X's advertising repository lacks critical information such as who paid for advertisements, while the platform imposes barriers preventing independent researchers from accessing public data for studying systemic risks.
US officials clash with EU over tech regulation
The fine has triggered sharp criticism from American officials, with Vice President JD Vance posting that "the EU should be supporting free speech not attacking American companies over garbage." FCC Chairman Brendan Carr accused Europe of "taxing Americans to subsidize a continent held back by Europe's own suffocating regulations."
X now has 60 days to address the blue checkmark violations and 90 days to submit plans fixing advertising and data access issues. Failure to comply may result in additional periodic penalties. The Digital Services Act allows fines up to 6% of global annual revenue for violations. The Trump administration has pressured the EU to soften tech regulations, warning of potential trade retaliation over what it views as unfair targeting of US companies.
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