EU DSA fine against X heads to court in key test case

X Corp., owned by Elon Musk, has filed an appeal with the General Court of the European Union against a €120 million fine imposed by the European Commission for breaching the Digital Services Act. The penalty, issued in December, marks the first enforcement action under the 2022 law.

The Commission concluded that X violated transparency obligations and misled users through its verification design, arguing that paid blue checkmarks made it harder to assess account authenticity. Officials also cited concerns about advertising transparency and researchers’ access to platform data.

Henna Virkkunen, the EU’s executive vice-president for tech sovereignty, security, and democracy, said deceptive verification and opaque advertising had no place online. The Commission opened its probe in December 2023, examining risk management, moderation practices, and alleged dark patterns.

X Corp. argued that the decision followed an incomplete investigation and a flawed reading of the DSA, citing procedural errors and due-process concerns. It said the appeal could shape future enforcement standards and penalty calculations under the regulation.

The EU is also assessing whether X mitigated systemic risks, including deepfaked content and child sexual abuse material linked to its Grok chatbot. US critics describe DSA enforcement as a threat to free speech, while EU officials say it strengthens accountability across the digital single market.

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EU–US draft data pact allows automated decisions on travellers

A draft data-sharing agreement between the EU and the US Department of Homeland Security would allow automated decisions about European travellers to continue under certain conditions, despite attempts to tighten protections.

The text permits such decisions when authorised under domestic law and relies on safeguards that let individuals request human intervention instead of leaving outcomes entirely to algorithms.

A deal designed to preserve visa-free travel would require national authorities to grant access to biometric databases containing fingerprints and facial scans.

Negotiators are attempting to reconcile the framework with the General Data Protection Regulation, even though the draft states that the new rules would supplement and supersede earlier bilateral arrangements.

Sensitive information, including political views, trade union membership and biometric identifiers, could be transferred as long as protective conditions are applied.

EU countries face a deadline at the end of 2026 to conclude individual agreements, and failure to do so could result in suspension from the US Visa Waiver Program.

A separate clause keeps disputes firmly outside judicial scrutiny by requiring disagreements to be resolved through a Joint Committee instead of national or international courts.

The draft also restricts onward sharing, obliging US authorities to seek explicit consent before passing European-supplied data to third parties.

Further negotiations are expected, with the European Parliament’s Committee on Civil Liberties, Justice and Home Affairs preparing to hold a closed-door review of the talks.

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EU drops revised GDPR personal data definition amid regulatory pressure

Governments across the EU have withdrawn the revised definition of personal data from the GDPR omnibus package, softening earlier proposals that had prompted strong resistance from regulators and civil society.

A decision that signals a preference for maintaining the original scope of the General Data Protection Regulation instead of reopening sensitive debates that risked weakening long-standing protections.

Greater attention is now placed on the forthcoming pseudonymisation guidelines prepared by the European Data Protection Board. These guidelines are expected to shape how organisations interpret key safeguards, offering practical direction instead of altering the legal definition of personal data.

The updated prominence given to the guidance reflects a broader trend within the Council towards regulatory clarity rather than legislative redesign.

The compromise text also maintains links with the wider review of the ePrivacy Directive, keeping future updates aligned with existing digital-rights rules.

Member states appear increasingly cautious about reopening foundational privacy concepts, opting to strengthen enforcement through guidance and implementation rather than altering core definitions in law.

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Turkey reviews children’s data handling as identity checks planned for social platforms

The data protection authority of Turkey has opened a new review into how major social media platforms manage children’s personal data.

A decision that places scrutiny on TikTok, Instagram, Facebook, YouTube, X and Discord as Ankara prepares legislation that would expand state authority over digital activity instead of relying on existing rules alone.

Regulators aim to assess safeguards for children and ensure stronger compliance with local standards.

The ruling party is expected to introduce a family package that would require identity verification for every account through phone numbers or the e-Devlet system. Children under 15 would not be allowed to create profiles and further limits could apply to users under 18.

A proposal that would also allow authorities to order the rapid removal of content deemed unlawful without waiting for court approval, while platforms that fail to comply may face penalties such as phased bandwidth reductions.

Rights advocates warn that mandatory verification and broader enforcement powers could reshape online speech across the country. Some argue that linking accounts to verified identities threatens anonymity and could restrict legitimate expression instead of fostering safety.

Turkey has already expanded online oversight since 2016 through laws that increased the government’s ability to block websites, require content removal and oblige major platforms to maintain a legal presence in the country.

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Strict ban on crypto references introduced by OpenClaw

OpenClaw has introduced a firm community rule prohibiting any reference to Bitcoin or other cryptocurrencies on its Discord server, according to its creator, Peter Steinberger.

Enforcement drew attention after a user was removed for mentioning Bitcoin block height as a timing method in a benchmark, with the developer later offering to restore access.

The policy follows a rebrand scare when scammers hijacked old accounts to promote a fake Solana token. Market value spiked then plunged after Steinberger denied involvement, warning that no official token would be issued.

Rapid growth of the open-source project, which has attracted a large developer base within weeks of launch, contrasts with wider industry momentum linking AI agents and digital assets.

Leaders such as Jeremy Allaire of Circle argue stablecoins could become default payment rails for autonomous software, while Coinbase is already rolling out infrastructure enabling agents to transact on-chain.

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Altman urges urgent AI regulation

OpenAI chief Sam Altman has called for urgent global regulation of AI, speaking at the AI Impact Summit in New Delhi. Addressing leaders and executives in New Delhi, he said the rapid pace of development demands coordinated international oversight.

In New Delhi, Altman suggested creating a body similar to the International Atomic Energy Agency to oversee advanced AI systems. He warned that highly capable open source biomodels could pose serious biosecurity risks if misused.

Altman argued in New Delhi that democratising AI is essential to prevent power from being concentrated in a single company or country. He added that safeguards are urgently required, even as technology continues to disrupt labour markets.

During the summit in New Delhi, Altman said ChatGPT has 100 million weekly users in India, with more than a third being students. OpenAI also announced plans with Tata Consultancy Services to build data centre infrastructure in India.

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Digital addiction in Italy sparks debate over social media bans

Italy has warned that digital addiction among teenagers is rising sharply, as health authorities link excessive social media and gaming use to family and educational challenges. Officials say bans alone will not resolve the issue.

According to Italy’s National Institute of Health, about 100,000 young people aged 15 to 18 are at risk of social media addiction. A further 500,000 are estimated to suffer from gaming disorder, recognised by the World Health Organisation as a medical condition.

A survey by digital ethics group Social Warning found that 77 percent of Italian teenagers consider themselves addicted to their devices. However, many say they lack the tools or support to change their behaviour.

Research by ‘Con i Bambini’, which funds projects tackling educational poverty in Italy, links digital dependency to isolation and strained parental relationships. The organisation says legislative measures can protect minors but cannot replace structured education and family support.

The debate extends across the EU. The European Parliament has called for a minimum age of 16 for social media platforms, while France, Italy, and Spain are considering national restrictions. Experts argue that prevention and digital literacy must complement regulation.

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AI-generated harmful imagery sparks alarming warning from 60 regulators

Nearly 60 privacy and data protection authorities issued a joint statement warning about the risks of AI-generated harmful and non-consensual imagery. The initiative was coordinated through the Global Privacy Assembly (GPA) and its International Enforcement Cooperation Working Group (IEWG), reflecting growing cross-border cooperation.

Regulators expressed concern about AI systems that create realistic but fabricated images and videos of identifiable individuals without their knowledge or consent. They warned that such tools can lead to serious privacy violations and reputational harm.

The Office of the Privacy Commissioner for Personal Data (PCPD), which co-chairs the IEWG, highlighted the global dimension of the issue. Privacy Commissioner stressed that children are particularly vulnerable to abusive AI-generated content.

Authorities called on organisations developing and using AI systems to introduce strong safeguards against the misuse of personal data. They also urged transparency, effective mechanisms for content removal, and enhanced, age-appropriate protections for children and other vulnerable groups.

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Reddit tests AI shopping search

Reddit has begun testing an AI-powered shopping search tool with a limited group of users in the US. Search queries for product ideas now generate interactive carousels featuring prices, images and direct links to retailers.

Items appearing in the results are drawn from recommendations shared in posts and comments across the platform. Listings are connected to Reddit’s advertising and shopping partners, bringing community discussions closer to online purchasing.

Expansion into AI-led commerce builds on the company’s earlier launch of Dynamic Product Ads, designed to deliver personalised suggestions. Closer integration of search and shopping signals a broader effort to strengthen digital revenue streams.

Chief executive Steve Huffman recently described AI search as a significant business opportunity beyond product development alone. Weekly search users increased from 60 million to 80 million over the past year, while engagement with the AI-powered Reddit Answers tool rose sharply throughout 2025.

Developments place Reddit alongside other technology platforms investing in AI-driven retail features. Growing user engagement suggests the company sees search as central to its future commercial strategy.

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Chinese AI video tool unsettles Hollywood

A new AI video model developed by ByteDance has unsettled Hollywood after generating cinema-quality clips from brief text prompts. Seedance 2.0, launched in 2025, went viral for producing realistic action scenes featuring western cinematic characters such as Spider Man and Deadpool.

In response, major studios, including Disney and Paramount, issued cease and desist letters over alleged copyright infringement. Japan has also begun investigating ByteDance after AI-generated anime videos spread widely online.

Industry experts say Seedance 2.0 stands out for combining text, visuals and audio within a single system. Analysts in Singapore and Melbourne argue that Chinese AI models are now matching US competitors at the technological frontier.

As Seedance 2.0 gains traction, Beijing continues to prioritise AI and robotics in its economic strategy. The rise of tools from China has intensified debate in the US and beyond over copyright, regulation and the future of creative work.

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