X Deactivates European Commission's Ad Account Over €120M Fine

X Deactivates European Commission's Ad Account Amid €120M Fine X, the social media company, has deactivated the European Commission's ad account on its platform, citing the commission's alleged misuse of its advertising system. This move comes after the European Commission fined X €120 million for violating the Digital Services Act (DSA), which regulates online platforms in the European Union. The commission had fined X for its blue checkmark system, which it deemed deceptive, and for failing to meet the DSA's requirements for transparency and accessibility in its advertising repository. X's Head of Product, Nikita Bier, fired back at the commission, accusing it of exploiting a vulnerability in X's Ad Composer to post a misleading link. The fine was announced on the European Commission's ad account, which X claims was a dormant account used to take advantage of the exploit. Bier stated that X deactivated the account not in response to the fine, but due to the commission's alleged misuse of X's advertising system. The European Commission has 60 days to respond to concerns about X's blue checkmark system and 90 days to address issues with ad transparency. Failure to comply may result in additional penalties. The incident highlights the tension between tech companies and regulatory bodies, particularly in the context of the Digital Services Act. The DSA aims to promote transparency and accountability in online platforms, but its implementation has sparked controversy. As the situation unfolds, X and the European Commission will need to navigate the complexities of the DSA and the implications of this high-profile dispute. The outcome will likely have significant repercussions for the tech industry and online advertising practices in the European Union.