Elon Musk’s social media platform X has launched a legal challenge against a major European Union penalty.
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Elon Musk’s social media platform X has launched a legal challenge against a major European Union penalty.
The company is seeking to overturn a €120 million fine imposed under the bloc’s sweeping digital regulations.
According to The Record, X confirmed Friday that it filed an appeal with the European Union’s General Court. The move follows case listings published on the court’s InfoCuria website naming several business entities linked to X, as well as Musk himself, as plaintiffs.
First under DSA
The fine, issued in December by the European Commission, was the first penalty handed down under the Digital Services Act (DSA), a 2022 law aimed at tackling online disinformation and tightening oversight of large digital platforms.
Under the DSA, major platforms can be fined up to 6 percent of their global annual turnover for violations. X, which is privately held, does not disclose its revenues publicly.
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At the time the penalty was announced, Musk’s net worth was estimated at roughly $490 billion, making the fine a small fraction of his personal wealth.
Alleged violations
The Commission previously said X breached DSA rules by misleading users over its paid “verified mark” system, commonly referred to as the blue checkmark.
Regulators also alleged the platform failed to meet transparency requirements concerning political advertising and access to public data for researchers.
In a statement cited by The Record, X described the investigation as “incomplete and superficial,” pointing to what it called “grave procedural errors” and violations of its rights of defense and due process.
Court showdown
The company said the appeal could set significant precedents regarding enforcement standards, penalty calculations and protections for fundamental rights under the DSA.
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A spokesperson for the European Commission told The Record: “We are aware that X lodged an appeal and we have no specific comments on this, we will defend our position in court.”
The case is expected to test the strength of the EU’s new digital rulebook and how far regulators can go in policing global technology platforms.
Sources: The Record