Fine for Musk's platform, an EU-US test of strength. A law professor's analysis: “A moment of rupture”
The fine of the X platform – owned by Elon Musk – with 120 million euros by the European Commission represents a moment of rupture between the EU and the US, claims the lawyer and professor of business law, Ciprian Păun. He believes the decision was a mistake that will have dire consequences.
Elon Musk reacted harshly to the fine he received. PHOTO: Getty Images
Ciprian Păun, lawyer and business law professor at Babeș-Bolyai University, analyzes the 120 million euro fine received by the X platform, owned by Elon Musk.
“EU hits Platform X with €120 million fine — and Washington's tough reaction opens a new front in transatlantic tensions. The decision of the European Commission to sanction platform X with 120 million euros for violating the provisions of the Digital Services Act (DSA) represents more than a simple administrative measure. It is a political signal. A moment of rupture. A warning that European rules on transparency, user protection and accountability of digital platforms are not negotiable”says the lawyer.
He argues that the target chosen for the first major sanction imposed under the DSA is no accident: “A global platform, entrenched in the American free speech ecosystem, constantly at the center of debates over the regulation of online content.”
If in Europe this decision is seen as a reaffirmation of digital autonomy, in the US things look completely different, Păun believes.
“Secretary of State Marco Rubio's reaction to Platform X officially opened a new tense episode in the US-EU relationship. Rubio publicly accused Brussels of “political abuse masked in regulation” and warned that “the European Union has crossed a red line in economic relations with the United States.” In a message with a tone rarely seen in transatlantic exchanges, he suggested that Washington should “fundamentally reevaluate” how it interacts economically with the blocr”, claims the lawyer on Facebook.
Peacock: “The decision is a big mistake”
He believes it is the beginning of a positioning conflict:
– The EU asserts the right to protect its digital market from systemic risks and opaque practices;
– The US, on the other hand, perceives the measure as a direct attack on American companies and their operational freedom.
“In an already geopolitically fragmented world, this new front — digital, economic and ideological — risks redefining transatlantic relations. It's not just technological platforms at stake, but the very economic architecture of EU-US collaboration“, says the lawyer.
Whether this episode will be followed by dialogue or escalation remains to be seen.
One thing is clear, says Paun: “Brussels has entered an era where it is no longer afraid to press the pedal of sanctions, and Washington is no longer willing to accept without reaction.”
The lawyer believes that the measure of Brussels “it is a big error, which will have very serious consequences in the relations between the two economic blocs. What is worse is that the announcement was not taken up by an important leader of the Commission and was presented only as a result of a technical assessment. I think it is a response to the defense and security strategy assumed by the US and unfortunately it will create many subsequent conflicts.”
Reply: “The EU did not make the decision overnight”
The lawyer's post was commented with arguments. “The EU made a technical decision, in accordance with the internal regulations, which are stated publicly and very transparently. And 2. The EU did not make the decision overnight, as a “reaction” to who knows what, as it seems, X was warned a long time ago, the due diligence process is old, so I don't see what the problem is? That Musk is foaming at the mouth? Musk (but not only him, Vance and many others) spoke in the same terms about the EU before this sanction, the two have been ACTIVELY involved in supporting anti-European political movements since they set foot in big American politics?! PS IMO it would have been a huge mistake if the Commission had not applied the sanction, it was the beginning of the end – how could you expect anyone to follow your rules?”one netizen claimed.
Peacock countered by pointing out that “Tiktok was excluded from the fine after talks in China as several articles in the business press show”. “TikTok was momentarily 'excluded' from the sanction because they gave access to their data and showed they were making efforts to comply. Musk/X showed… the middle finger”came the reply.
Why Elon Musk was fined
The European Commission announced on Friday that it is fining X platform €120 million for breaching transparency obligations under the Digital Services Regulation (DSA) and accepting binding commitments made by TikTok to ensure compliance with advertising transparency requirements.
The review procedure was opened in December 2023 and covered possible violations of content moderation, combating illegal information, transparency in advertising, use of deceptive design and access to data for research.
Violations found by the Commission include:
• Deceptive use of the “blue checkmark”, contrary to the provisions of art. 25 para. (1) of the DSA Regulation on the Prohibition of Deceptive Design. The verification mark can be obtained for a fee without an actual identity verification process, which can mislead users about the authenticity of accounts and significantly increase the possibility of exposing users to impersonation fraud, scams and other malicious actions.
• The lack of transparency and accessibility of the advertising register, in violation of art. 39 of the DSA Regulation. The existence of technical barriers and excessive delays in processing queries applied to the register and the lack of mandatory information such as the exact content of advertisements, their subject matter or the identity of the payer lead to difficulties in identifying the risks associated with online advertising, such as coordinated manipulation campaigns or misleading advertisements.
• Failure to comply with the obligations regarding access to public data for researchers, provided for in art. 40 para. (12) of the DSA Regulation. The prohibition of independent access to public data, through restrictive terms of use (e.g. scraping) and internal procedures that impose unjustified access barriers, affects research activity regarding systemic risks such as information manipulation, external interference and threats to democratic processes.
Measures for X and for TikTok
The European Commission imposes the following measures on platform X by decision:
• within 60 working days, the X platform must submit clear measures to stop the fraudulent use of the “blue checkmark”;
• within 90 working days, the platform must submit an action plan regarding compliance with the advertising register and ensuring access to data for researchers. The action plan developed by the X platform will be subject to the analysis of the European Committee for Digital Services (Digital Services Board), of which ANCOM is also part, as digital services coordinator (DSC).
Measures taken by TikTok
The European Commission accepted the set of mandatory commitments proposed by TikTok under art. 71 of the DSA, these responding to all the concerns raised in the initial investigation and in the preliminary findings of May 2025.
TikTok's main commitments include:
• complete transparency of advertising content – including in the advertising register the full content of advertisements, exactly as they appear in the user stream, and providing links and URLs associated with advertisements;
• accelerated updating of the register – publication of information about advertisements within a maximum of 24 hours;
• transparency of targeting criteria and aggregated data about the audience – presenting the targeting criteria used by the advertiser and providing aggregated data on the gender, age group and member state of the users reached by the ad;
• improving the search function of the advertising register – introducing additional filtering and search options to facilitate access to information.
TikTok has a term of between 2 and 12 months to implement the commitments made, depending on the complexity of the measures involved in each commitment, with the European Commission closely monitoring the platform's compliance.
“The EU should be abolished and sovereignty returned to individual countries so that governments can better represent their people,” Elon Musk wrote back on the X platform.
