This July, the European Parliament adopted the Digital Services Act in its first reading. This is after they reached a landmark agreement along with the European Council, on 23 April, 2022 regarding the Act that took more than a year and a half of research.
The Digital Services Act is considered the first of its kind worldwide in the field of digital regulation for giant digital companies.
After the Act is signed by both the European Union and Council, it will enter the implementation phase 20 days after its publication in the Official Journal.
The Act will be implemented across the European Union within a 15-month period or starting from January 1, 2024.
What is the Digital Services Act?
The Digital Services Act represents the first sustained attempt to update the rules for online content in a democratic environment and within the rule of law, while preserving freedom of expression.
The Act also promotes justice with respect to content supervision and imposes a variety of transparency and accountability requirements on websites and social media platforms.
The Digital Services Act was passed by 539 votes in favor, 54 against, and 30 abstentions, while the Digital Markets Act was passed by 588 votes in favor, 11 against, and 31 abstentions.
The Digital Services Act states that what is illegal offline must be illegal online as well. It sets clear obligations for providers of services, such as social media platforms or online marketplaces, to tackle the spread of disinformation, misinformation, and illegal content online. While the internet respects fundamental rights, including freedom of expression and data protection, it also promotes traceability and verification of merchants in online marketplaces to ensure the integrity of products and services.
Moreover, the Act endorses increasing transparency and accountability on platforms, by providing clear information on content supervision or using algorithms to recommend content (the so-called recommendation systems), for example.
On the other hand, the Act prohibits deceptive practices, certain types of targeting ads, such as those targeting children, as well as ads based on sensitive data. The so-called "dark patterns," and misleading practices aiming to manipulate users' choices will also be banned.
Digital Services in the European Union
The European Commission had proposed two legislative initiatives to upgrade the rules governing digital services in the European Union, in December 2020, which are:
- Digital Services Act (DSA).
- Digital Markets Act (DMA).
The Commission consulted a wide range of stakeholders while preparing this legislative package.
These stakeholders include the private sector, users of digital services, civil society organizations, national authorities, academia, the technical community, international organizations, and the general public.
A set of complementary consultation steps were also taken to fully capture stakeholders' perspectives on issues related to digital services and platforms. A political agreement was reached on March 25, 2022, regarding the Digital Markets Act, and on April 23, 2022, regarding the Digital Services Act.
Translated by Jehan Batrawi
Misbar’s Sources
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