US officials have criticised the European Union after it fined Elon Musk’s social media platform X €120 million. The EU said X misleads users by allowing paid blue checkmarks without meaningful verification. Moreover, the Commission warned this practice exposes users to impersonation, scams, and other forms of manipulation.

The EU said X also failed to provide transparency around advertising. Additionally, it did not give researchers proper access to public data. Henna Virkkunen, the Commission’s executive vice-president for tech sovereignty, said the platform undermined users’ rights and evaded accountability.

X must now inform the Commission how it will comply with EU laws. Otherwise, the company faces further periodic fines. This marks the EU’s first enforcement action under the Digital Services Act (DSA), which regulates online platforms’ content, data, and advertising practices. The Digital Markets Act also governs how platforms operate to benefit consumers.

US officials reacted strongly. Secretary of State Marco Rubio called the fine an attack on all American tech companies and the US people. Moreover, he said foreign governments should not censor Americans online. Rubio’s post on X was shared by Elon Musk with the comment “absolutely.”

Additionally, FCC chair Brendan Carr criticised the EU for targeting X simply because it is a successful US tech company. He claimed Europe is taxing Americans to subsidise its own regulations. Vice-President JD Vance had also spoken out, saying the EU was punishing X for refusing to engage in censorship.

Musk’s changes to X verification sparked the controversy. Previously, verified users proved their identity. However, the new system ties verification to a paid subscription. Users must have a display name, profile picture, active usage, and a confirmed phone number. They must also avoid misleading or spammy behaviour.

The aim was to boost subscriptions and reduce bot activity. Yet critics warned it could increase scams and misleading content. Social media expert Matt Navarra noted the system flipped verification from a trust signal into a transaction. Consequently, the EU considered X an easy first target for scrutiny.

The Commission’s decision signals stricter oversight of online platforms in Europe. Meanwhile, US leaders continue to push back against regulations affecting American tech companies abroad.

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