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Insight

EU: Overview on the EU Digital Services Act

December 11, 2024
Summary

The EU Digital Services Act (DSA), effective from February 2024, establishes a uniform regulatory regime for digital service providers in the EU, aiming to create a level playing field and a safe online environment. It extends the safe harbor principles from the e-Commerce Directive, introduces content moderation rules, transparency requirements, and a tiered regulatory system based on the type of service provided. The DSA affects B2B and B2C digital intermediaries with an EU establishment or substantial EU connection, with exemptions for SMEs unless they are large online platforms or search engines. It mandates general duties for all intermediaries, special additional duties for hosting services and online platforms, and the strictest rules for very large online platforms and search engines. Compliance includes designating contact points, transparency reporting, and for non-EU establishments, appointing an EU legal representative.

What is the DSA about? The DSA aims to provide an EU-wide level playing field for intermediary services offered to users/recipients in the EU. On the one side, this has the purpose to optimize the functioning of the European Single Market and avoid fragmentation by diverging laws in different EU Member States. On the other side, the DSA aims to create a safe, predictable, and trusted online environment in the EU, which is free from illegal content and where European fundamental and consumer rights are respected. To this end, it reinforces, clarifies, and extends the safe harbor principles for intermediaries, which were originally established under the EU e-Commerce Directive 2000/31 (ECD). I

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