'Very large online platforms' designated for Digital Services Act regulation

Services operated by technology companies including Google, Meta and Microsoft are among the 17 VLOPs and two VLOSEs that have been designated. Each of the services will have to be compliant with the full set of DSA obligations by 25 August 2023.

The European Commission’s designation was based on the user data the online platforms had to publish by 17 February 2023. Technology law experts Dr. Nils Rauer and Wouter Seinen of Pinsent Masons noted the list contains very little surprises and that the businesses on it will be well prepared to comply with the DSA. They added it is to be expected that other services could be designated as VLOPs or VLOSEs in future and that the list announced could therefore be described as a ‘first wave’ of services designated.

The DSA was finalised by EU law makers last year. It builds on existing provisions of EU law under the E-Commerce Directive, which governs what online intermediaries need to do currently when they become aware of the existence of illegal activity on their services.

When it begins to take effect, a new tiered system of regulation with apply, with obligations of varying stringency depending on the nature and size of the ‘intermediary services’ provided. The strictest requirements apply to VLOPs and VLOSEs and include an obligation to identify, and then address, systemic risks associated with their services.

Pinsent Masons has published a guide to help businesses understand the extent to which their services may be regulated under the DSA.