The European Union is setting tougher standards for the tech industry and giants such as Facebook, Google, and numerous others will soon have to adapt to stricter EU regulations, particularly concerning illegal content, while non-compliance could lead to hefty fines.

Specifically, from last Friday, a new European regulatory framework came into effect. The EU approved the Digital Services Act last year with the primary goal of ensuring that platforms and search engines promptly remove illegal content. Additionally, the process for users to report such content should be more user-friendly.

The new regulations mainly target large platforms and search engines with over 45 million monthly users. The EU has classified 19 companies as "very large online platforms" and "very large online search engines". This list includes X (formerly Twitter), Facebook, Instagram, Tiktok, several Google services, Zalando, Wikipedia, Booking.com, Amazon Marketplace, and the Apple App Store. These global giants had four months to implement the EU's directive.

Going forward:

• Terms and conditions should be clearly articulated so everyone can understand them.
• Companies must remove counterfeit products or dangerous games from their websites and warn buyers appropriately.
• Not only will platforms be required to remove illegal posts, but they'll also need to compile detailed reports for the Commission about potential risks to citizens.
• Platforms like Snapchat and YouTube will have to scrutinize whether their content promotes online violence, infringes on freedom of speech, or if their algorithms negatively impact mental health. Actions must then be taken accordingly.

Targeted advertising will now be prohibited for sensitive topics, such as religion or political beliefs. Moreover, the collection of children's personal data for advertising purposes is now strictly forbidden.

Meta, the parent company of Facebook and Instagram, has a dedicated team of 1,000 people working on the EU's Digital Services Act. Google has also promised greater transparency, and Tiktok announced a less personalized algorithm with more transparency about its ads a few weeks ago.

However, not all tech giants are on board. Both Amazon and Zalando have already filed lawsuits, arguing that these rules shouldn't apply to them since they are purely commercial platforms.

Nevertheless, companies that fail to meet the EU's requirements could face fines amounting to 6% of their global annual sales.

in the bigger picture, the Digital Services Act (DSA) and the Digital Market Act (DMA) form a single set of rules that apply across the whole EU. They have two main goals:

1. to create a safer digital space in which the fundamental rights of all users of digital services are protected;

2. to establish a level playing field to foster innovation, growth, and competitiveness, both in the European Single Market and globally.