Court backs the EU: Amazon fails with lawsuit against DSA classification

The General Court of the European Union has sided with the EU, dismissing Amazon's challenge to its designation under the Digital Services Act (DSA). This ruling solidifies the EU's power to regulate large tech platforms and enforce stricter obligations regarding content moderation and the spread of illegal content. The DSA aims to create a safer digital space and hold online platforms accountable for the content hosted on their services. The court's decision confirms that tech companies with more than 45 million users in the EU are subject to heightened scrutiny under the DSA. This designation allows regulators to impose specific requirements on these platforms, including measures to combat the spread of disinformation, illegal products, and hate speech. Amazon had contested the designation, but the court found the EU's process and assessment to be valid. This ruling has significant implications for all large tech companies operating within the EU. They will face increased compliance costs and potential penalties if they fail to meet the DSA's requirements. The outcome reinforces the EU's commitment to digital sovereignty and its role as a global leader in regulating the digital landscape, impacting how these platforms operate within the European market.