The EU have decided to kick Elon Musk's X from its position as the gatekeeper of the organisation under the Digital Markets Act, which would have subjected it to an onerous list of obligations.
X, formerly known as Twitter, had previously told the commission that even though it met the user threshold for a gatekeeper classification, it did not function as a critical intermediary between business and consumer, one of the key criteria outlined by the DMA. The platform's argument led the commission to take a closer look at its role in the digital ecosystem.
Gatekeepers under the DMA are subjected to a rigorous set of requirements. They are mandated to make their messaging platforms interoperable with those of their competitors, allowing users to choose which apps to pre-install on devices, and refrain from giving preferential treatment to their own services.
Companies who fail to comply to these basic rules might face hefty penalties, with fines reaching up to 10% of their global annual revenue.
Alphabet, Amazon, Apple, Meta, Microsoft, ByteDance and Booking.com have been designated as gatekeepers, among others.
The European Commission's final verdict regarding X's status would be revealed next week, following the completion of its investigation into the platform's role in the digital marketplace.