ChatGPT Becomes a Major Online Platform Under EU Digital Services Act
The European Commission has officially designated ChatGPT as a large online platform under the Digital Services Act (DSA), marking it as the first artificial intelligence (AI) chatbot to adhere to the stringent transparency and content moderation requirements outlined by this regulatory framework. The Commission views OpenAI’s flagship product as a hybrid service that qualifies as a search engine according to the DSA. Alongside ChatGPT, platforms such as Roblox and Reddit have also been classified similarly, as they enable users to disseminate their own and third-party content on a large scale, thus necessitating enhanced oversight in compliance with current legislation.
Henna Virkkunen, Executive Vice President for Technological Sovereignty, Security, and Democracy at the European Commission, clarified that “these new designations mean that ChatGPT, Reddit, and Roblox will now face a higher level of control and accountability within the European Union, reflecting their significant impact on our citizens and society. We continue to closely monitor the digital landscape and will not hesitate to designate any platform that meets the threshold for increased oversight under the Digital Services Act.”
Compliance Requirements for Major Platforms
The Commission further explained that Roblox, Reddit, and ChatGPT were already subject to the general obligations set forth by the DSA for online platforms and search engines. However, having reported at least 45 million average monthly users within the EU, these three services are now mandated to be classified as very large platforms. As a result of this designation, they are required to assess and mitigate systemic risks associated with their services and algorithms. These risks include the spread of illicit content, negative impacts on minors, the physical and mental well-being of users, fundamental rights, electoral processes, and public safety. The companies will have a four-month period to effectively comply with these new requirements.
This recent classification also empowers the Commission to investigate the underlying technologies that facilitate the operation of these three platforms, as well as any related systems. The Commission will collaborate with national authorities in the countries where these platforms are based to ensure regulatory compliance. For ChatGPT and Reddit, this cooperation will involve working with Coimisiún na Meán (the Irish Media Commission), while Roblox will engage with the Netherlands Authority for Consumers and Markets (ACM).
Increased Scrutiny on Major Tech Companies
The timing of these designations coincides with a period of intensified enforcement of the DSA against large tech companies by European authorities. To date, the Commission has classified 28 digital services as large platforms, including App Store, Facebook, Google Maps, Google Play, Instagram, LinkedIn, Pinterest, Snapchat, X (formerly Twitter), Wikipedia, YouTube, Bing, Google Search, TikTok, and WhatsApp, among others.
Under this heightened scrutiny, the European Commission is conducting investigations into several of these services. Preliminary findings suggest potential violations related to user well-being, protection of fundamental rights, and the appropriate moderation of certain content deemed illegal.
Potential Consequences for Non-Compliance
Recently, the European Commission preliminarily determined that Meta is in violation of the Digital Services Act due to the alleged “addictive design” of Instagram and Facebook. The Commission has indicated that the company, led by Mark Zuckerberg, must alter the architecture of both platforms by disabling default-enabled features such as auto-playing videos and infinite scrolling.
This ruling represents the second warning issued by the Commission against Meta concerning potential DSA violations stemming from the same investigation. Earlier this year, the Commission released another preliminary assessment concluding that the company failed to effectively prevent access by users under the age of 13 to its platforms.
Similar conclusions have been drawn in investigations concerning services like TikTok and X. The DSA stipulates that companies that do not comply with the obligations imposed by the Commission may face penalties of up to 6% of their annual global revenue and, in severe cases, may be compelled to suspend their operations within the European Union.