Overview

• The European Commission asked for detailed information on changes to X’s corporate structure after xAI acquired the platform for $33 billion.
• The probe falls under the EU’s Digital Services Act, focusing on possible deceptive design and transparency breaches.
• If found in violation, X could face fines up to 6% of its global turnover and risk being banned from Europe for repeat offenses.
• Brussels’ July 2024 preliminary findings faulted X for monetizing the blue checkmark without clear design, prompting a new disclaimer this month.
• Regulators are considering Elon Musk’s assessments—valuing xAI at $80 billion and X at $33 billion—in gauging the scale of any penalties.