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EU Businesses Technology

Tech Companies Face Billions in Fines Under EU Content Rules (bloomberg.com) 124

The world's biggest technology companies could face billions of dollars in fines for breaches of new European Union legislation, details of which are expected to be agreed upon by lawmakers as soon as Friday. From a report: The landmark Digital Services Act is the EU's answer to what it sees as a failure by tech giants to combat illegal content on their platforms. Noncompliance could cost companies as much as 6% of their global annual sales when the rules go into effect as early as 2024.

Failures could be extremely costly. Based on their reported 2021 annual sales, Amazon, for instance, could face a theoretical fine of as much as 26 billion euros ($28 billion) for future noncompliance with the DSA, or Google as much 14 billion euros. Facebook whistle-blower Frances Haugen said the DSA could represent a "global gold standard" for regulating social media companies. After more than a year of internal wrangling, key rules expected to be announced include:

1. A ban on using sensitive data such as race or religion for targeting ads
2. A ban on targeting any ads to minors
3. A ban on so-called "dark patterns," specifically tactics to push people into consenting to online tracking.

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Tech Companies Face Billions in Fines Under EU Content Rules

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  • by jellomizer ( 103300 ) on Friday April 22, 2022 @12:16PM (#62469022)

    I am no fan of Social Media and Tech companies practices, they have been playing "I am not responsible for user content" game for too long now.
    However, Europe lack of major Tech and Social Media Companies does put a question on all their laws, and if said laws would still be in effect if there were major industries in Europe in those areas. Because as much the "I am not responsible for user content" is a bad excuse, it also isn't an easy fix to the problem.

    • Privacy is a popular issue in EU thus the politicians make rules to satisfy their constituents. Ads do help fund services so and the privacy controls will add costs to EU users. The tech Co s may need to adjust their business models there. If consumers prefer the trade off then democracy working. Tech Co Boards and Execs will adapt to maximize returns. Not sure why the hate. Democracies should support each other even when governance rules differ. Tech Co s can influence via OECD and trade treaties. EU use
  • by Teun ( 17872 ) on Friday April 22, 2022 @12:24PM (#62469054)
    These companies, knowing where the sensitivities are, could have changed their ways years ago.
    These rules are not to damage companies but to protect the consumer using them. So I am very much OK to charge them for their wilful non-compliance with known rules.
    • These rules are not to damage companies but to protect the consumer using them.

      As an American, it just looks kind of funny to see the EU actually worrying about.. ads. We just ignore them. There's always some more pressing issue to rage over (culture wars, bridges falling down, a housing bubble, inflation, healthcare costs) on this side of the pond.

      • Re: (Score:3, Insightful)

        by Anonymous Coward

        its not about ads it about mass tracking which is used for ads but also used in more nefarious ways, go watch a youtube video on data brokers, then go look up how companies use this mass harvested data to manipulate people in all sorts of ways.

        and you just *THINK* you ignore the ads companies keep buying them because they work, thinking they have no effect on you because you're too smart for ads to manipulate you is a large source of their power.

      • We just ignore them.

        You think you ignore them, but you don't. That's just the advertising people being smarter then you.

        • You think you ignore them, but you don't. That's just the advertising people being smarter then you.

          Until they get the ads in dreams [youtube.com] thing figured out, I think adblock is doing its job.

          Yes, I do still see ads on the mobile Facebook app, but the targeting algorithm is laughably bad. Heck, I'll open it now and scroll through a few sponsored ads:

          Amazon (Who doesn't already know that Amazon exists?)
          T-Mobile (Already my wireless provider, after they bought Sprint.)
          MRCOOL do-it-yourself mini-split air conditioners (I work in the trade and can buy contractor grade equipment directly from the local Johnstone Sup

          • So you use AdBlock, which means that you actually agree with the EU when it comes to ads. But lets screw every one that doesn't have an adblocker should we?
            • So you use AdBlock, which means that you actually agree with the EU when it comes to ads. But lets screw every one that doesn't have an adblocker should we?

              With such a simple resolution, why wouldn't our superiors simply write an adblock type app that only allows European ads through, and blocks the rest of the world? Make it mandatory, and in true EU fashion fine anyone not using your EU approved app.

              • by noodler ( 724788 )

                With such a simple resolution, why wouldn't our superiors simply write an adblock type app that only allows European ads through, and blocks the rest of the world? Make it mandatory, and in true EU fashion fine anyone not using your EU approved app.

                It's profoundly stupid of you to think we want to block US ads and let through Euro ads.
                We don't want that level of marketing from any market party, period.

                • With such a simple resolution, why wouldn't our superiors simply write an adblock type app that only allows European ads through, and blocks the rest of the world? Make it mandatory, and in true EU fashion fine anyone not using your EU approved app.

                  It's profoundly stupid of you to think we want to block US ads and let through Euro ads. We don't want that level of marketing from any market party, period.

                  Then block them all I don't care one bit about what EU citizens see - you claim I am stupid - I merely suggest fixes that are better than the EU's inability to fix their own problems so the world conforms to their desires. Block what you want. I don't care - but y'all are simply incompetent at the same time as spouting that others are stupid.

                  Y'all claim to be superior to us, yet you cannot fix simple problems. You believe that the world owes th eEU to be what the EU demands. I think it's a leftover from

                  • by noodler ( 724788 )

                    Then block them all I don't care one bit about what EU citizens see

                    Obviously you care otherwise you wouldn't have written your previous post.

                    I merely suggest fixes that are better than the EU's inability to fix their own problems so the world conforms to their desires.

                    I think you don't understand how the world works. If these companies want to do business in Europe they should comply with European laws.
                    We fixed the problem by writing law, not by abolishing the advertisement market.

                    You believe that the world owes th eEU to be what the EU demands.

                    No, we simply believe that if you want to play on our turf you have to play by our rules. It is a simple concept to understand. But you're showing great difficulty grasping it.

                    Y'all claim to be superior to us, yet you cannot fix simple problems. You believe that the world owes th eEU to be what the EU demands. I think it's a leftover from your violent past and wishes that others bow to your demands. And before you run off in a huff, there is a boatload of citations about what you Europeans love to do to others.

                    Oh jesus fucking H christ. Did those evil Eur

                    • Then block them all I don't care one bit about what EU citizens see

                      Obviously you care otherwise you wouldn't have written your previous post.

                      Only thing I care about is that the EU is flexing it's fine muscles to control others.

                      I merely suggest fixes that are better than the EU's inability to fix their own problems so the world conforms to their desires.

                      I think you don't understand how the world works. If these companies want to do business in Europe they should comply with European laws. We fixed the problem by writing law, not by abolishing the advertisement market.

                      I understand fully. I have absolutely zero concerns from our end - If the EU doesn't want to see something on the internet - they can shut the spigot off, and deny their citizens whatever they think needs banned. I do understand the European mindset of demanding a conformity, and their wishes to impose it on the world. Shut the internet off. Geoblock anything coming from the USA.rewrite history if you like - speaking of t

                    • by noodler ( 724788 )

                      I understand fully.

                      Not really. Not even a little.

                      If the EU doesn't want to see something on the internet - they can shut the spigot off, and deny their citizens whatever they think needs banned.

                      But it was the citizens that asked for it, smartass.

                      And you seem to be unable to grasp the simple and 100 percent effective solution. Shut us off

                      But you are the only one who wants this solution. US companies don't want this solution. Neither do the EU countries.
                      So you're talking shit.

                      You claim I can't grasp something

                      Well, you clearly demonstrate you don't by offering a solution no one wants.

                      The problem with your preferred approach is that it continually shifts the playing field, and it imposes fines on things that you really do not control.

                      Ooh, boo hoo, changing playing fields. But these companies themselves change the playing field in major ways. We just think that they change it too much in their own favor. They're literally begging for being reig

                    • It was an observation. You really do sound like you have your dick stepped on by the EU.

                      Wow - you are obsessed with that thing. twice now!

                      Sorry, long distance relationships don't work, and my wife probably wouldn't approve. But I'm flattered, so there is that.

              • With such a simple resolution, why wouldn't our superiors simply write an adblock type app that only allows European ads through, and blocks the rest of the world? Make it mandatory, and in true EU fashion fine anyone not using your EU approved app.

                Because none of this is about banning non EU ads. Also please inform me which app I'm as a EU citizen will be fined for not using. You seem to live under a great misunderstanding on how things work over here, yet somehow argue as if you actually knew anything. Puzzling.

                • With such a simple resolution, why wouldn't our superiors simply write an adblock type app that only allows European ads through, and blocks the rest of the world? Make it mandatory, and in true EU fashion fine anyone not using your EU approved app.

                  Because none of this is about banning non EU ads. Also please inform me which app I'm as a EU citizen will be fined for not using. You seem to live under a great misunderstanding on how things work over here, yet somehow argue as if you actually knew anything. Puzzling.

                  Misunderstanding? Europeans do not create or innovate. They become outraged by something they see in the intertoobz, and they try to extract money, and demand the forbidden content be excised, lest it do harm to their delicate sensibilities. Pretty much sums it up.

                  You claim "none of this is about banning non EU ads." Allow me to refresh your memory here:

                  FTA:

                  1. A ban on using sensitive data such as race or religion for targeting ads

                  2. A ban on targeting any ads to minors

                  3. A ban on so-called "dark pa

                  • yes misunderstandings, and your new rant continues down this path. There is not a single item on your list that have the word "non EU ad" in them, yet you use it as some proof that EU want's to ban ads from non EU companies. It's getting hard to see you as anything other than a troll when you present that list in this context.
                    • yes misunderstandings, and your new rant continues down this path. There is not a single item on your list that have the word "non EU ad" in them, yet you use it as some proof that EU want's to ban ads from non EU companies. It's getting hard to see you as anything other than a troll when you present that list in this context.

                      Right - and yes, I'm trolling - because it's fun to screw with you folks -

                      So - the way you put it is that no ads that originate outside the European Union will be banned. Which is not true You're making a distinction without a difference. They don't need to say "Non-EU" or "EU only". They want all ads to conform.

                      I get ads and links from all over the world. And I want to see you type "No ads from anywhere but the European Union will be affected by these laws."

                    • So - the way you put it is that no ads that originate outside the European Union will be banned. Which is not true You're making a distinction without a difference. They don't need to say "Non-EU" or "EU only". They want all ads to conform.

                      No that is not at all how I put it. I put it as in no ads will be banned by looking at if they originated inside or outside the EU which was your claim (that this was about banning ads originating from outside the EU).

                      Also not entirely sure why you think it's fun that people take you for a illiterate idiot, but hey I'm not the one to deny you your kinks.

                    • So - the way you put it is that no ads that originate outside the European Union will be banned. Which is not true You're making a distinction without a difference. They don't need to say "Non-EU" or "EU only". They want all ads to conform.

                      No that is not at all how I put it. I put it as in no ads will be banned by looking at if they originated inside or outside the EU which was your claim (that this was about banning ads originating from outside the EU).

                      Also not entirely sure why you think it's fun that people take you for a illiterate idiot, but hey I'm not the one to deny you your kinks.

                      Ah yes. Now you're using insults.

                      Hard to argue against someone who's pinnacle of debate is calling names. Good work.

                      I wrote: "You're making a distinction without a difference. They don't need to say "Non-EU" or "EU only". They want all ads to conform."

                      And you wrote "I put it as in no ads will be banned by looking at if they originated inside or outside the EU which was your claim.

                      you are wrapped around the axle about something many posts ago.

                      Now before I start ignoring you, Tell me that what

                    • That was not an insult and neither was I calling names. That you are trying to change the context in every post is on you, I'm not forced to follow that path. And you are totally free to ignore me.
          • Sony Pictures "Heavy Metal" (No fucking clue what that movie even is.)

            Only one of the best animated movies of all time!

            Well, one of the not horrible animated movies.

            Well, an animated movie, anyway.

            I loved it, but I was the target demographic when it came out: a sixteen year old male in the early 80s. It hasn't exactly aged well. Bitchin' soundtrack, though!

        • We just ignore them.

          You think you ignore them, but you don't. That's just the advertising people being smarter then you.

          I mean - I block them. So on some level, I suppose I know I'm blocking them. But I have no idea what I'm not seeing.

      • by Shinobi ( 19308 )

        There are some real pressing issues you should worry about though, in regards to online surveillance. Here's an excerpt from a mail sent by Eric Schmidt for the 2016 US presidential election campaign:

        " The database of voters (NGP Van) is a fine starting point for voter records and is maintained by the vendor (and needs to be converted to the cloud). The code developed for 2012 (Narwahl etc.) is unlikely to be used, and replaced by a model where the vendor data is kept in the Van database and intermediate da

      • by noodler ( 724788 )

        We just ignore them.

        And that is how we got to a place where everything and their grandma is plastered with ads. It's not a nice world to live in, don't you think?
        And maybe the ads are why you stopped actually looking into the world and retract into safe bubbles and ignoring the real world problems you have.

    • by splutty ( 43475 ) on Friday April 22, 2022 @12:44PM (#62469140)

      Main difference between the EU and the US is that the EU at least attempts to take customer rights seriously.

      In the US the customer can get fucked as long as the corporations are happy, it seems.

      • In the US the customer can get fucked as long as the corporations are happy, it seems.

        We get fucked on plenty of other things that the EU doesn't let fly (cost of healthcare being a biggie), but the worst thing an advertising company can do is show/send you an ad.

        I've never once heard a good realistic example of how any of this ad tracking has had a negative effect on someone's quality of life. It's always just some sort of vague feeling of creepiness that companies are maintaining data in order to sell you stuff, but not any actual demonstrable harm. I use adblock on my browser and on my

        • by Joce640k ( 829181 ) on Friday April 22, 2022 @01:14PM (#62469264) Homepage

          the worst thing an advertising company can do is show/send you an ad.

          No, the worst thing it can do is invade every part of your life to figure out what ad to show you.

          They're reading your mail, they're following you around, they're watching what you buy. If it was a physical person doing it you'd be telling them to stop. And that's the European's point. Just because it's electronic and invisible doesn't make it OK.

        • by splutty ( 43475 )

          I'll give you a Godwin example: Google can print a list of every jew that uses a computer in the US with a close to 100% certainty.

        • ...the worst thing an advertising company can do is show/send you an ad.

          Not true. There have already been cases of data-miners selling people's personally identifying information to debt collectors, con-artists, stalkers, "private security consultants," & criminal organisations (e.g. for identity theft). There's very little to effectively prevent them from doing so. There are real, material consequences to the loss of our privacy. Just because you're not currently aware of them, it doesn't mean they don't exist.

        • by djgl ( 6202552 )

          but the worst thing an advertising company can do is show/send you an ad.

          Do you remember the past two presidential elections in the US?

        • by noodler ( 724788 )

          but the worst thing an advertising company can do is show/send you an ad.

          What if it's an ad that nudges you towards overthrowing your government because a subtle lie in the ad makes you distrust your government for no good reason?

      • Main difference between the EU and the US is that the EU at least attempts to take customer rights seriously.

        The main difference is the way the laws are written, interpreted, and enforced.

        In the EU, the intent of the law is what matters: "Respect people's privacy" -each company is expected to figure out what to do or not do and can be penalized for failing to achieve the goal.

        In the USA, the letter of the law is what matters: "Do not do [x,y,z] and do [a,b,c]" -whether or not that achieves the goal [of protecting the consumer]...

    • Why? there hasn't been a deterrent from them doing any of these practices. It's a classic case of the regulatory and legislative oligarchy being too slow to catch up to the pace of innovation. We don't need targeted ads, we don't need to be tracked endlessly but even governments sell your data in the US. It's revenue streams they don't want to give up much like extrajudicial asset forfeiture.

    • They just want to force everyone everywhere into one-size-fits-all services. It's simpler, easier & cheaper for them. They mostly ignore labour, consumer, & privacy laws in other countries & try to apply the USA's incredibly low standards to European citizens. They ignore the law at their own peril. They can't cry foul & play the victim when it's their responsibility to inform themselves of their legal obligations in the jurisdictions in which they operate. It's not as if they can't afford t
    • These companies, knowing where the sensitivities are, could have changed their ways years ago.

      They were unfortunately protected and not given any incentive to do anything. Thank the retarded law that is the DMCA for that.

    • These companies, knowing where the sensitivities are, could have changed their ways years ago. These rules are not to damage companies but to protect the consumer using them. So I am very much OK to charge them for their wilful non-compliance with known rules.

      And what will happen is an ongoing game of whack a mole while the big companies find ways to legally collect information despite the laws; resulting in new laws. The GDPR was intended to limit data collection and retention, instead we get endless pop ups asking for consent or blocking access to sites if your IP is in the EU. In the end, the tech giants will roll on and smaller companies will face increased costs to comply since they can't afford an army of lawyers to find ways around the law and defend the

  • I know, you want to make head news... but oversimplifying things is quite annoying...

    Quote: " A ban on targeting any ads to minors"

    So... no more diapers ads, no more formula milk ads, no more toys, etc.

    Well... after writing the "forbidden" ads... I'm quite happy with the law....

    • by splutty ( 43475 )

      TO minors. Not ABOUT minors. English is a weird language, but that one is really clear.

    • by splutty ( 43475 )

      Also funny, by the way :P Didn't catch that at first.

      I'd miss the toy ads though. Oh wait, I don't see any ads.

    • Quote: " A ban on targeting any ads to minors"

      So... no more diapers ads, no more formula milk ads, no more toys, etc.

      Huh?

      In what country to minors buy their own milk and diapers?

    • It's already illegal to target children with advertising in most European countries & there are advertising regulators to enforce it. The change will be that they'll start prosecuting overseas companies, like Facebook & Google, for doing it now.
    • by noodler ( 724788 )

      So... no more diapers ads, no more formula milk ads, no more toys, etc.

      Do babies do their own shopping in the US?
      In case your too stupid to understand, diaper ads target the parents, not the kids.

  • I'm targeted as "Atheist" which means I don't get ads for the latest Christian rock band. Since, you know, I'm not their demographic. Now I'm just going to get even more completely irrelevant or frustrating advertisements.
    • I'd like to have zero ads instead only eliminating the really annoying ones. The next question is what is the cost to our privacy and liberty if corporations have been recording our activities from cradle to grave for marketing? How can an innocuous commercial purpose be turned into a totalitarian state or some even weirder dystopia such as an extortion economy.

      • Re: (Score:3, Interesting)

        by Powercntrl ( 458442 )

        I'd like to have zero ads instead only eliminating the really annoying ones.

        The problem with zero ads is everything either goes behind a paywall or out of business. I guess that's fine if you want an internet that's nothing but shopping sites, streaming TV/music services, and paid porn.

        Personally, I think getting free shit because advertisers are under the delusion that you're looking at their ads, is a more than fair trade. I think I've burned enough karma on that hill for today, though. I guess some people really love paywalls. *shrug*

        • I seem to recall being on the internet before websites needed ads and usenet was free. Everything being either ads or paywall is a false dichotomy, and I don't buy it.

          I guess that's fine if you want an internet that's nothing but shopping sites, streaming TV/music services, and paid porn.

          That's happening already. I'm suggesting we not go that route.

          • I seem to recall being on the internet before websites needed ads and usenet was free.

            There were a lot less people online in those days. You could self-host a reasonably popular site back then as a hobby. Today, something like Twitter, Facebook, Reddit, etc., if any of those went completely ad-free they'd have to charge a subscription. They simply cost far too much to operate.

            • Maybe twitter and facebook shouldn't exist.

              Cost for running a web site has gone down, not up. At least according to my own experience of running it as a "hobby" for 25 years.

          • by AmiMoJo ( 196126 )

            Websites and Usenet were never free. Someone always paid for it.

            Universities, ISPs offering "free" webspace and Usenet servers as part of their packages. Of course if a website got very popular, or a Usenet group started getting high traffic, they would ditch it and expect you to pay if you wanted to keep it.

            • Usenet was free because my ISP covered it as part of the services they provided me.

              They dropped the service without lowering my bill. hence .. free.

            • Websites and Usenet were never free. Someone always paid for it.

              That's technically always true. Someone is always paying for the connection. But unless you were paying more to get enough connection to provide USENET, it was effectively free. So there was essentially some paid-for USENET, and some free USENET out there. In between there were a lot of people and organizations paying small amounts of money to make long distance phone connections to transfer their data, e.g. using UUCP. It could be configured to make calls during low-cost rate windows, so the costs were at

    • by VeryFluffyBunny ( 5037285 ) on Friday April 22, 2022 @02:17PM (#62469480)
      You're assuming that advertising executives care whether you're annoyed by an ad they show you. All they care about is hit counts & revenues. They're also happy to sell ad space to hostile foreign entities & criminal organisation to target you if there's any money in it. Are these the people you want to know more about your habits & routines than you do?
  • Yay! Nationalism! Nationalists in the US, who by their hatred emboldened nationalism worldwide, caused this. Fools.

  • The first two are already illegal, and companies spend real effort to enforce it (for example if a real estate company uses another proxy like zip code for targeting "whites only", will have their ads taken down).

    The third one will be a real hot zone. Unlike age or sex which are obvious properties, this is pretty subjective. If a company is successful in getting consent 90% of the time, does it make it a "bad pattern"? Yet, if a company has an obtrusive popup asking for consent, people get fed up, and only

    • The first two are already illegal

      Where? Be specific. Unless your answer includes Austria, Belgium, Bulgaria, Croatia, Cyprus, Czech Republic, Denmark, Estonia, Finland, France, Germany, Greece, Hungary, Ireland, Italy, Latvia, Lithuania, Luxembourg, Malta, The Netherlands, Poland, Portugal, Romania, Slovakia, Slovenia, Spain, and Sweden then they aren't already illegal.

      And unless Austria, Belgium, Bulgaria, Croatia, Cyprus, Czech Republic, Denmark, Estonia, Finland, France, Germany, Greece, Hungary, Ireland, Italy, Latvia, Lithuania, Luxem

    • The first two are already illegal, and companies spend real effort to enforce it (for example if a real estate company uses another proxy like zip code for targeting "whites only", will have their ads taken down).

      Facebook in particular has offered outright illegal targeting options to people explicitly advertising real estate, and either sponsoring content or explicitly buying advertising. Either way they're actually paying Facebook money to do this. And that's just here in the USA! I would be stunned if they were not willfully accessorizing criminal housing advertisement in other countries, but I'm simply not familiar with other countries' laws (and barely familiar with ours.)

  • I think we ought to be asking why the EU thinks that in the midst of run away inflation and post covid economic stress, they think punitive taxes and regulation on some our economies largest entities is the sort of thing a good ally does.

    Personally I our worthless vegetable in the White House ought to step up and threaten some serious trade sanctions if the EU seeks to keep trying cash grabs like this and regulating internet outside its own economy. Sure tax and penalize Facebook for whatever you want in t

    • by splutty ( 43475 ) on Friday April 22, 2022 @02:09PM (#62469454)

      No. That's not what we should be asking. Since by that metric it's never time to do anything, because there's always something someone considers more important.

    • by noodler ( 724788 )

      I think we ought to be asking why the EU thinks that in the midst of run away inflation and post covid economic stress, they think punitive taxes and regulation on some our economies largest entities is the sort of thing a good ally does.

      Well, let's start at the beginning. What 'good ally' unleashes megacompanies that use fucking psychologists to manipulate the population for their own profit onto their friend countries?
      The thing is, these regulation are not thought up yesterday. They have been in the making for many years, all pre-covid.

      Personally I our worthless vegetable in the White House ought to step up and threaten some serious trade sanctions if the EU seeks to keep trying cash grabs like this and

      These are not cash grabs. We actually want these companies to change their behavior in Europe. They are fines for companies that misbehave.

      Sure tax and penalize Facebook for whatever you want in the EU but claiming a share of Global profit - is pretty fucking outrageous!

      But it is their global profits and general market dominance that ma

  • Yeah, yep, mostly scammers who have bought stolen data, and are spamming me and everyone else with that, and they claiming that "Europe's just jealous".

    Go ahead, put up a video of you going to the bathroom, or someone recorded it, and that's ok... but not in Europe. Or you kid is bombarded with advertising. Or...

    Good for the EU.

  • by theycallmeB ( 606963 ) on Friday April 22, 2022 @05:21PM (#62470140)
    Really, I mean it. Ban it all and burn the data brokers to the ground at the same time. Pretty sure we would end up with a better internet.

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