Amazon, Fb, Google Could Face EU Fines for Unlawful Content material
Technology giants like Facebook (FB) – Get the report, Amazon (AMZN) – Get the report and google (TogetL) – Get the report Fines of up to 6% of their earnings are imposed for not deleting illegal content posted on their platforms. This corresponds to the draft regulations proposed by the European Union.
The EU plans to target platforms that have “a disproportionate influence” on users on the Internet, the Financial Times reported.
According to media reports, the new EU rules are expected to be announced on December 15th.
Of course, the new rules formulated under the Digital Services Act would still have to be approved by the Member States and the European legislator.
If Facebook were fined a maximum of 6% under the new rules, the social network would receive a payment of $ 4.2 billion based on 2019 earnings, Bloomberg reported.
The rules also called for greater transparency in ads and full disclosure to users regarding the targeted advertisements they see.
The EU will also unveil a proposed gatekeeper regulation under which large platforms with more than 45 million users in Europe could face fines or breakups for misusing competitor data or engaging in other anti-competitive behavior, Bloomberg reported.
Large online platforms are “where the largest audience is reached – and possibly the most serious damage is caused. Such very large online platforms should therefore have the highest standard of due diligence, which is proportionate to their social impact and resources, “says the FT’s draft regulation.
On Thursday, the Federal Trade Commission and most states filed an antitrust lawsuit against Facebook alleging the social media company acted anticompetitively to maintain a monopoly on personal social networks.
The commission said it was trying to prevent Facebook’s takeover of Instagram and WhatsApp and to deter Facebook from anti-competitive practices that have helped dominate the personal social networking market.