Report: X could be looking at $1B fine from EU over illicit content and misinformation – News

Regulators in Europe are considering fining Elon Musk’s X Corp. $1 billion, according to a report in the New York Times today.

The report is based on information provided to the Times by four insiders who each declined to give their names or get into the specifics of a current investigation. The broader allegation is that X has breached Europe’s strict internet law, the Digital Services Act. The act is designed to tame what the EU, as well as the U.K., have claimed is the “Wild West” of online life. The EU’s law allows for big tech companies to be fined up to 6% of their global turnover.

The investigation, whose results are expected to be published sometime this summer, revolves around X being accused of allowing illicit content and disinformation to be promulgated through the platform. The Times reports that regulators are still unsure about how much the fine will be, with $1 billion given as a ballpark figure. The anonymous sources said regulators are concerned about further antagonizing President Trump in view of the latest tariff war and Musk and Trump’s close relationship.

“EU officials said their investigation into X was progressing independently from tariff negotiations after Mr. Trump announced major new levies this week,” wrote the Times. “The investigation began in 2023, and regulators last year issued a preliminary ruling that X had violated the law.”

Since Musk took over X – then Twitter Inc. – he’s been accused of allowing misinformation and hate speech to flourish on the platform, although Musk, who’s called himself a free speech absolutist, has fired back saying free speech is under threat in what he considers government overreach regarding censorship.

Today, X’s global government affairs team said if the investigation and proposed fine is true, it “represents an unprecedented act of political censorship and an attack on free speech.” It added, “X has gone above and beyond to comply with the EU’s Digital Services Act, and we will use every option at our disposal to defend our business, keep our users safe, and protect freedom of speech in Europe.”

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