Meta and TikTok Face EU Scrutiny: What It Means for Big Tech Transparency

EU’s Crackdown on Big Tech: The Digital Services Act in Action

On October 24, 2025, the European Commission announced that both Meta (owner of Facebook and Instagram) and TikTok (owned by ByteDance) have provisionally breached key transparency requirements under the Digital Services Act (DSA) — a landmark regulation designed to make digital platforms accountable for safeguarding users and society.europa+5​

What Is the Digital Services Act?

The DSA is Europe’s pioneering digital law that holds large platforms responsible for:

• Granting researchers and auditors access to public data for independent scrutiny.

• Providing users with straightforward tools to report illegal or harmful content.

• Ensuring that moderation processes are contestable and accessible.

• Implementing transparent advertising, especially related to minors and political content.

Companies failing to comply with these rules face fines up to 6% of global turnover, with penalties stacking until breaches are resolved.commission.europa​

Why Meta and TikTok Are Under the EU’s Microscope

The Commission’s investigation revealed several issues:

• Inadequate Data Access: Both Meta and TikTok made it unduly hard for independent researchers to obtain public data, blocking efforts to audit platform effects on mental health and children’s exposure to harmful content.apnews+4​

• User Reporting: Meta’s platforms, Facebook and Instagram, failed to provide simple or effective ways for users to report illegal material or challenge moderation decisions — instead imposing confusing, multi-step processes, referred to as “dark patterns”.business-humanrights+1​

• Potential Risks for Minors: The lack of transparency impedes understanding and controlling harmful exposures for vulnerable groups.

What Happens If They Don’t Comply?

If Meta and TikTok do not resolve these shortcomings, they could face billions in penalties and ongoing fines. These cases signal a deepening commitment from the EU to subject Big Tech to stronger oversight, ensuring platforms are not “black boxes” but open to examination and public accountability.courthousenews+1​

Industry and Political Reactions

• Meta’s Response: The company disputes any wrongdoing, claiming its systems comply with regulatory expectations.

• TikTok’s Position: TikTok asserts its dedication to transparency but warns of conflicts between DSA and EU’s General Data Protection Regulation (GDPR), making full data sharing challenging.finance.yahoo​

• Global Tensions: The announcement triggered tension with US political figures, including the administration of former President Trump, who hinted at retaliatory tariffs against countries regulating American tech giants.finance.yahoo​

• Regulatory Consistency: EU officials insist the DSA’s requirements are non-negotiable, emphasizing democratized trust and accountability.

What This Means for Big Tech Transparency

This scrutiny builds a precedent:

• Stronger Platform Accountability: Major tech firms must open their algorithms and processes to independent review.

• User Empowerment: Easy mechanisms for reporting abuse, misinformation, or illegal content become mandatory.

• Safer Digital Ecosystem: Regular audits will better protect children, minorities, and civic discourse from manipulative or dangerous platform behavior.

Conclusion: The New Normal for Tech Giants in Europe

Meta and TikTok’s confrontation with the EU signals a dramatic shift. Europe, armed with the DSA and companion regulations, is turning up the pressure on Big Tech — prioritizing transparency, safety, and user rights above unregulated profit. As deadlines loom, the tech industry faces a simple choice: adapt or face penalties.