The European Commission has finally unveiled its long-awaited digital services package, which includes the Digital Services Act (DSA) and the Digital Markets Act (DMA).
The DSA is the EU’s response to the need to regulate the digital space, and it sets out rules for platforms that operate in the EU. These rules will apply to all types of platforms, from social media to online marketplaces, and they will cover a wide range of issues, from illegal content to targeted advertising.
The DSA will come into force fifteen months after it is published in the Official Journal of the European Union, and it will have a major impact on the way that platforms operate in the EU. Here are some of the key things you need to know about the DSA:
1. The DSA will require platforms to be more transparent and accountable for their role in disseminating illegal and harmful content. For example, platforms will have to put in place systems to identify and remove illegal content, and they will have to notify authorities when they become aware of illegal activity.
2. The DSA will also introduce measures to counter illegal content online. For example, it will prohibit platforms from using targeted advertising based on the use of minors’ personal data as defined in EU law.
3. The DSA will impose certain limits on the presentation of advertising and on the use of sensitive personal data for targeted advertising, including gender, race and religion. It will also ban misleading interfaces (dark patterns) and practices aimed at misleading users.
4. The DSA will apply to all types of platforms, from social media to online marketplaces. However, certain types of platform will be subject to special rules, including online marketplaces which will have to take measures to combat the online sale of illegal products and services.
The DSA is a major piece of legislation that will have a profound impact on the way that digital platforms operate in the EU. It is essential reading for anyone who uses or owns a digital platform, and it will be closely watched by all those who are involved in the digital economy.
For startups, the DSA is an important piece of legislation to be aware of, as it could have a significant impact on your business. For example, if you run an online marketplace, you will need to take measures to ensure that illegal products and services are not being sold on your platform. If you use targeted advertising, you will need to ensure that you are not using personal data in a way that is prohibited by the DSA.
In addition to the DSA, the DMA will also introduce rules for digital markets. These rules will apply to platforms that operate in the EU and provide services to businesses or consumers. The DMA will not apply to all types of platform, but it will cover a wide range of issues, from anti-competitive practices to user data protection. Regarding anti-competitive practices, the DMA will prohibit platforms from engaging in certain types of conduct, such as restricting access to rival services or discriminating against them.
The difference between the DSA and the DMA is that the DSA will apply to all types of platform, while the DMA will only apply to digital markets. However, both pieces of legislation will have a major impact on the way that platforms operate in the EU, and they are both worth reading if you are involved in the digital economy.
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