Under new EU law, tech giants, including Google and Meta, will have to explain how their technology works in front of consumers.

The EU passed a new Digital Services Act, abbreviated to DSA, early Saturday morning. The new DSA law aims to increase the responsibility of technology companies to give consumers more control over consumers across Europe.

The new law aims to speed up the removal of illegal content and products online. It focuses on explaining the company’s algorithm to researchers and online users, as well as cracking down on misinformation.

Companies that do not comply with the new law will be fined up to 6% of annual revenue, according to The Verge. “The DSA will upgrade the rules and regulations that apply to all online services within the EU,” European Commission President Asula Vanderlian said in a statement.

“This is a practical application of the principle that what is illegal outside should also be illegal online. The larger the size, the greater the responsibility of online platforms,” ​​Leanne said. Last March, the European Union passed a Digital Markets Act (DMA) to regulate online marketing.

The DSA law, which focuses on online platform policy, has stricter rules for large companies, like the DMA. New digital laws could put companies like Meta and Google, which have at least 45 million users in the EU, under investigation.

The terms of the DSA have been agreed upon by EU members, but further work is needed to make them legal. The new rules will apply to all companies 15 months after the January 1, 2024 election vote.


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