US backs Elon Musk's bid to overturn €120m EU fine against X

The U.S. administration has expressed support for Elon Musk's effort to contest a €120 million fine levied by the European Union against X, the social media platform formerly known as Twitter. The penalty stems from allegations that X failed to comply with the EU's Digital Services Act (DSA) by concealing advertising practices of certain users and refusing to provide information.

U.S. Commerce Secretary Gina Raimondo sent a letter to the European Commission expressing concern that the EU's procedure against X might be overly broad and unduly restrict the company's operations. She emphasized that regulatory actions should target specific violations without creating unnecessary obstacles to business.

X, owned by Musk, has previously denied the allegations and accused the EU of bias. The company has stated its intention to appeal the decision through all available legal avenues. The U.S. administration's backing could provide significant diplomatic and legal backing for Musk's company in its dispute with the EU.

This case is notable as it marks the first instance of the EU imposing fines on a social media platform under the DSA legislation, setting a precedent for future enforcement actions concerning digital services.