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Elon Musk’s X Fined $140 Million by EU for ‘Deceptive’ Blue Checkmarks and Transparency Failures

The EU slapped Elon Musk’s X with a $140 million fine for misleading blue checkmarks, ad transparency failures, and blocking researcher access under the Digital Services Act.

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Elon Musk’s X Fined $140 Million by EU for ‘Deceptive’ Blue Checkmarks and Transparency Failures
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5 Dec 2025 7:52 PM IST

The X platform of Elon Musk has been fined with a huge amount of €120 million (i.e., $140 million) by the European Commission, which indicates that one of the strongest actions among the EU’s strict Digital Services Act (DSA) is taken up.

The Commission made a declaration that X violated major transparency and user-protection rights through “deceptive design of its blue checkmark," the lack of openness in its ads repository, and the failure to share public data with researchers.

The ruling is the outcome of a two-year investigation and has intensified regulatory pressure considerably on the already controversial Musk’s platform.

Why the EU Fined X

The Commission pointed out that X was guilty of major violations:

A misleading blue checkmark system that did not let users know what “verification” really means.

Political and commercial advertising that was insufficiently transparent and thus made it harder for citizens to see who is influencing their feeds.

Blocking researchers from accessing public data and thus hindering studies on misinformation and platform safety.

The European Union’s Executive Vice President for Tech Sovereignty, Security and Democracy Henna Virkkunen did not mince words:

“Deceiving users with blue checkmarks, obscuring information on ads, and shutting out researchers have no place online in the EU. With this first DSA non-compliance decision, we are holding X accountable.”

What X Must Do Next

X is now subject to very tight deadlines:

60 days to present a plan for correcting deceptive blue checkmark practices

90 days to solve issues regarding the transparency of advertising and researcher access restored

Risk of incurring additional fine payments if it does not comply

The Commission made it clear that non-compliance could lead to recurring fines.

So far, X has not given any public response to the decision.

A Growing Clash Between the EU and Big Tech

This incident occurred just one day after the EU began a separate antitrust investigation into Meta’s new policy concerning AI providers’ access to WhatsApp data.

Meanwhile, U. S. authorities have been urging EU regulators to soften their strict tech rules—including the Digital Services Act, Digital Markets Act, and the forthcoming AI regulations. However, Friday’s decision indicates that Europe is determined to maintain its position.

Why This Matters

This verdict signifies a crucial point in the history of global tech regulation.

The EU has sent a strong message: platforms cannot mislead users, hide ads, or block research tools regardless of who is in charge.

And with X already under the microscope regarding safety, content moderation, and policy changes after the Musk’s takeover, this $140 million penalty becomes another hurdle in the way.

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