Have the article read by OpenAI (Beta). Please note that AI translations may take some time to process.Luxembourg (dpa) – The European General Court on Wednesday dismissed a challenge against Amazon’s classification as a so-called very large online platform making it subject to stricter rules under the bloc’s legislation for digital platforms. The US tech giant had filed a complaint against a designation by the European Commission as a very large online platform under the EU’s Digital Services Act (DSA). The aim of the DSA is to enforce stricter oversight on leading online services and to protect users from illegal content on online platforms.
In the ruling, the judges argued that the requirements under the DSA for very large platforms can be seen as an infringement on entrepreneurial freedom as they incur considerable costs. However the infringement is justified by the EU’s goal of preventing systemic risks, the ruling stated. An Amazon spokesperson said the company is “disappointed with this ruling” and intends to appeal the decision before the European Court of Justice.
Amazon defends itself: No systemic pressure from its online marketplace
Amazon argues that, as a retailer of consumer goods, the company is not the type of online platform for which the DSA rules were created. Those rules aim to minimize the risks posed by services that disseminate information and opinions and are financed by advertising, the US company argued. It agreed with the commission’s objective to keep consumers safe and has “been committed to protecting them from illegal products and content well before the Digital Services Act,” the spokesperson said. The classifications under the DSA were “to address systemic risks posed by very large companies with advertising as their primary revenue and that distribute speech and information. […] The Amazon Store, as an online marketplace, does not pose any such systemic risks; it only sells goods, and it doesn’t disseminate or amplify information, views or opinions.”
Zalando already unsuccessfully fought against classification
Other companies such as German fashion retailer Zalando, Google’s shopping marketplace and Chinese retailer Alibaba are considered particularly large, meaning they must fulfil additional obligations. Zalando had previously tried unsuccessfully to challenge its designation as a very large online platform in court.
Under DSA rules, digital services are required to remove illegal content from their sites more quickly than was previously the case. Very large platforms and search engines with more than 45 million active users per month are subject to particularly strict requirements, including the obligation to submit an annual risk assessment and propose countermeasures with regard to harmful content. They must also share data with authorities and researchers. (19 november)
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