Home » New EU Legislation- Meta and TikTok Submit Proposal for Revised Digital Services Act (DSA) Fees, Exempting Companies with Financial Losses like X

New EU Legislation- Meta and TikTok Submit Proposal for Revised Digital Services Act (DSA) Fees, Exempting Companies with Financial Losses like X

Meta and TikTok have requested a review of the fees paid to EU regulatory agencies for content verification under the new Digital Services Act (DSA). They argue that these fees are disproportionately calculated.

According to the regulations, companies are required to pay fees calculated based on various factors, with the maximum payment to regulatory agencies not exceeding 0.05% of the company’s profit. However, representatives of Meta view this as unfair, as even companies with substantial user bases and operating losses are still obligated to pay EU fees.

TikTok representatives, on the other hand, believe that the calculation of fees based on user data from external companies is inaccurate.

Under the DSA, there are 20 major online platform companies that are classified as large-scale. The criteria include having at least 45 million users within the EU. These companies are required to collectively pay an annual operational fee of €45.2 million to the EU. The initial figures outline that Alphabet, Google’s parent company, will pay €22.1 million, Meta €11 million, TikTok €3.9 million, Apple €3 million, while Amazon and X are exempt from payment due to their net operating losses during the assessment period.

EU representatives clarify that companies have the right to file objections for reconsideration. However, the EU emphasizes that the fee calculation method has already been extensively reviewed. Amazon itself has also submitted a request for reconsideration of the calculation criteria, focusing on the number of users not meeting the threshold.

TLDR: Meta and TikTok have requested a review of the fees that companies must pay to EU regulatory agencies for content verification under the DSA. Both companies argue that the fee calculations are unfair and inaccurate, while the EU maintains that the calculations have been thoroughly assessed.

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