The Digital Services Act In The E.U.

Summary & Important Topics

The Digital Services Act (DSA) is a European Union (EU) legislative proposal aimed at creating a safer and more open digital space, fostering innovation, and ensuring a level playing field for all digital service providers. The DSA updates the regulatory framework for digital services, which was established by the 2000 eCommerce Directive. The act focuses on addressing issues related to illegal content, transparency, consumer protection, and competition in the digital market.

Important topics in the Digital Services Act include:

1. Scope of the act: The DSA applies to all digital service providers, including online platforms, hosting providers, and internet service providers, offering their services in the EU, regardless of where they are established.
2. Due diligence obligations: The act imposes a set of due diligence obligations on digital service providers, requiring them to take appropriate measures to prevent the dissemination of illegal content, protect users from harmful activities, and cooperate with authorities.
3. Transparency and accountability: The DSA mandates greater transparency and accountability from digital service providers, requiring them to disclose information about their content moderation policies, advertising practices, and algorithms that influence content ranking or recommendation.
4. Notice and action mechanism: The act establishes a clear and user-friendly notice and action mechanism, allowing users to report illegal content and request its removal. Service providers must act expeditiously to remove or disable access to such content.
5. Protection of fundamental rights: The DSA ensures that the rights to freedom of expression, information, and privacy are protected, and it prohibits arbitrary or unjustified removal of content.
6. Special provisions for very large online platforms (VLOPs): Platforms with over 45 million monthly active users in the EU are subject to additional obligations, such as conducting risk assessments, implementing measures to mitigate identified risks, and appointing compliance officers.
7. Independent supervision and enforcement: National Digital Services Coordinators (NDSCs) are responsible for monitoring and enforcing the DSA provisions in their respective countries. The European Commission may also take action against non-compliant platforms, including imposing fines and penalties.
8. Cooperation between authorities: The DSA establishes a European Board for Digital Services (EBDS) to facilitate cooperation between NDSCs, exchange information, and provide guidance on the implementation of the act.
9. Dispute resolution and redress: The DSA requires digital service providers to establish internal complaint-handling systems and participate in out-of-court dispute resolution mechanisms, ensuring users have access to redress.
10. Market investigation: The act grants the European Commission the power to conduct market investigations to identify systemic failures or risks and impose targeted remedies on specific providers or platforms.

In summary, the Digital Services Act aims to create a safer and more open digital space in the EU by imposing new obligations on digital service providers, increasing transparency and accountability, and strengthening enforcement mechanisms.