X is stepping up its legal fight with EU regulators, filing an appeal against a €120m fine imposed by the European Commission under the Digital Services Act (DSA) in what is shaping up to be a landmark case for the bloc’s digital rulebook.
The appeal, lodged before the General Court of the European Union, challenges the Commission’s 5 December 2025 decision — the first non-compliance penalty issued under the DSA, the EU’s flagship law governing large online platforms’ responsibilities on content moderation, transparency and systemic risk management.
X tweets response
In a statement posted by its Global Affairs account, which handles regulatory and government communications, X said the Commission’s decision was based on an incomplete and superficial investigation. The company alleged serious procedural errors, a misinterpretation of its obligations under the DSA, and breaches of due process and rights of defence. It also claimed the enforcement process reflected prosecutorial bias.
The legal action marks the first time an EU court will review a fine issued under the DSA, placing the judiciary at the centre of defining how aggressively the Commission can enforce the 2022 regulation. The case is expected to probe key questions around the scope of platform obligations, proportionality in penalties, and the procedural safeguards afforded to very large online platforms.
A first test?
Policy specialists say the outcome could set an early benchmark for the Commission’s enforcement strategy. Since the DSA began applying to the largest platforms in 2023, Brussels has positioned it as a cornerstone of its digital governance agenda, designed to increase transparency, curb harmful content, and hold major platforms accountable for systemic risks. However, the regulation’s penalty framework and investigative powers have yet to be tested extensively in court.
At stake is not only the specific fine but the broader balance between regulatory oversight and platform rights. A ruling could clarify how far the Commission can go in interpreting compliance obligations, how fines should be calculated, and what standards of evidence and procedure must be met before sanctions are imposed.
X versus EC
X has framed the appeal as part of a wider defence of its platform governance approach and of user access to online debate. While contesting the Commission’s decision, the company said it remains committed to user safety and transparency and to maintaining what it describes as an open global digital public square. The case also underscores growing tensions between Brussels and major technology companies over the implementation of the EU’s expanding digital rulebook, which includes the DSA as well as parallel competition and market regulation efforts.
The General Court’s judgment — which could ultimately be appealed further to the EU’s highest court — is likely to become a foundational reference point for future enforcement actions. Legal observers expect the ruling to influence not only how the DSA is applied to X, but how regulators approach investigations and penalties across the entire platform ecosystem.
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With additional DSA probes already underway against several large online services, the outcome of the case may shape the trajectory of EU tech enforcement for years to come.
