The EU's Digital Services Act - what it means

The European Union's Digital Services Act (DSA) and Digital Markets Act (DMA), a legislative package designed to establish a safer and more equitable online environment. The DSA focuses on protecting online users' fundamental rights and addressing the spread of illegal content and disinformation by imposing tiered obligations on digital services, with the strictest rules applying to Very Large Online Platforms (VLOPs) and Very Large Online Search Engines (VLOSEs) based on user numbers. It aims to increase transparency in content moderation, prohibit targeted advertising based on sensitive data or for minors, and provide users with mechanisms to report illegal content and challenge moderation decisions. The DMA targets large "gatekeeper" platforms to ensure fair business practices and foster competition and consumer choice within the digital market. Both acts include significant penalties for non-compliance and are enforced through a cooperative framework involving the European Commission and national Digital Services Coordinators.