Musk’s X to Dodge Requirements of Landmark EU Tech Rules, Sources Say

Elon Musk’s X will not be classified as a gatekeeper under the EU’s Digital Markets Act, which would have imposed a strict set of obligations on the platform, according to sources familiar with the situation.

The European Commission, which initiated an investigation into X in May, is set to announce its decision next week.

The EU competition authority declined to comment on the matter. X, previously known as Twitter, had informed the Commission that while it met the user criteria for gatekeeper status, it did not qualify as a crucial gateway between businesses and consumers.

This response led to the Commission’s investigation in May to further explore the classification.

In contrast, other major companies such as Alphabet, Amazon, Apple, Meta, Microsoft, TikTok’s owner ByteDance, and Booking.com have been designated as gatekeepers.

Under the Digital Markets Act, gatekeepers face requirements that include allowing their messaging apps to interact with competitors, enabling users to choose which apps to pre-install on their devices, and prohibiting favoritism towards their own services.

Violations of these rules could result in fines of up to 10% of a company’s annual global turnover.