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The Digital Services Act in brief
The Digital Services Act in brief
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Guest
Guest
Oct 05, 2025
11:07 PM
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The European Parliament and the European Council reached a political agreement on the Digital Services Act on April 23, 2022. In this article, I'll briefly explain what this Digital Services Act entails. The DSA entered into force on February 17, 2024.
The European Union has been working for some time on several new laws aimed at reforming the internet and our online lives. For example, the Digital Markets Act (DMA) aims to curb the power and monopoly position of big tech companies like Google, Apple, Meta, and Amazon, thus ensuring a level playing field for all digital companies.
The Digital Services Act applies to both large internet companies (Amazon, Meta, etc.) and those like Zalando and Booking.com. In short, the law aims to ensure that "what is illegal offline (by law and regulation) is also illegal online."
This may include protection against:
Harmful or illegal content such as hate speech, cyber violence, or copyright infringement.
Illegal trade in goods and services.
Political or health-related disinformation.
This also creates better rules for protecting freedom of expression and data protection. The DSA focuses on the online safety of children, the elderly, and everyone in between.
From social media to hosting providers
The law will apply to digital services such as social media, online marketplaces, hosting providers, app stores, and other online platforms that offer their services in the European Union, even if they are not established there. The rules will vary depending on the type of business. The European Commission's website states that the following types are involved:
Intermediary services providing network infrastructure: internet service providers, domain name registrars, including:
hosting services such as cloud and web hosting services, including:
online platforms where sellers and consumers come together , such as online marketplaces, app stores, sharing economy platforms and social media platforms.
Very large online platforms pose a particular risk in terms of disseminating illegal content and harming society. Specific rules have been established for platforms reaching more than 10% of Europeans (i.e., 45 million users).
Below I will explain what the legislation actually entails.
Understanding algorithms and advertising
The Digital Services Act requires internet companies to be transparent about their algorithms and their influence, or to offer the option to "switch off" the algorithm to view a chronological timeline. The latter has recently become possible on Instagram . The European Commission, all member states, and users must have access to and be able to understand the algorithms of major online platforms to better understand why certain posts are shown or recommended.
Advertising platforms must also offer the option to see which party is behind the ad and why it's being shown. Facebook and Google already offer this option via the three dots in the top right corner of the ad. It should also be possible to disable personalized ads. Personalized ads are strictly prohibited for minors. Furthermore, sensitive data such as sexual orientation, religion, or ethnicity may not be used for targeting.
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