Meta and TikTok in breach of EU law, preliminary findings suggest

Investigation finds social media giants falling short on transparency – fines could follow

The European Commission (EC) has said that Meta and TikTok are in breach of transparency obligations under the EU Digital Services Act (DSA).

The social media behemoths are accused of failing to grant researchers sufficient access to public data, which is essential for the study of the impact of online platforms.

The EC has also found that Meta’s Facebook and Instagram do not provide simple mechanisms for users to flag illegal content (for example, child sexual abuse material (CSAM) or terrorist materials), use deceptive “dark patterns” in their alerting mechanisms, and fail to allow users to effectively challenge content moderation decisions.

Meta and TikTok will now be able to respond in writing to the EC’s preliminary findings. A Commission press release provides no date by which any responses must be received.

If breaches are confirmed, the EC could impose fines of up to 6% of the companies' total worldwide annual turnover, which might cost Meta around $10 billion. The EC can also impose periodic penalty payments to ensure compliance.

In a statement Meta said it disagreed “with any suggestion that we have breached the DSA."

The company added: “In the European Union, we have introduced changes to our content reporting options, appeals process, and data access tools since the DSA came into force and are confident that these solutions match what is required under the law in the EU.”

TikTok said: "We are reviewing the European Commission's findings, but requirements to ease data safeguards place the DSA and GDPR in direct tension. If it is not possible to fully comply with both, we urge regulators to provide clarity on how these obligations should be reconciled."

Issues of transparency are only one aspect of the EC’s ongoing investigations into tech giants.

Last month the Court of Justice of the European Union found in favour of Meta and TikTok over the EC’s calculation of annual "supervisory fees" imposed on very large online platforms, giving the EU executive one year to change its approach.

The latest findings are likely to cause a reaction from the US. In August, the Trump administration warned against countries imposing taxes and regulations on American technology giants, threatening tariffs and export restrictions if such "discriminatory" measures continue.

However, Henna Virkkunen, the EC’s executive vice-president for tech sovereignty, security and democracy, said “Platforms must empower users, respect their rights, and open their systems to scrutiny. The DSA makes this a duty, not a choice.”