Media Centre

How to Comply with the EU Digital Services Regulatory Reform

7 March 2023

Dear clients and friends,

The EU Digital Services Act (the “DSA“), which will start to apply next February, will require businesses offering digital services in the European Union to comply with groundbreaking rules and responsibilities.

In particular, the new requirements under the DPA will impose content moderation requirements, transparency and reporting obligations, protection from online harms, and internal governance and accountability standards.

The DSA would completely overhaul the EU regulatory landscape for the operation of virtually any digital service, including hosting services, social networks, search engines, online marketplaces, communication services, media & content platforms, as well as other online intermediaries. It is a part of a wider legislative trend in the EU aimed at creating a safer digital space, safeguarding the fundamental rights of users and establishing a level playing field for businesses through uniform rules and standards, including the Digital Markets Act, which will impose additional obligations and responsibilities on online “gatekeepers”.

While the majority of the obligations under the DSA will into force in 2024, online platforms are already obligated to some requirements, including the obligation to publish the number of monthly active users in the EU since 17 February 2023.

The DSA would apply not only to business established in the EU, but also to any business offering services in the EU, regardless of its place of operation. Failure to comply with the DSA can result with substantial fines, up to 6% of the annual worldwide turnover of the business as well as “periodic penalty payments” of up to 5% of average daily turnover for ongoing infringements.

To assist with understanding and navigating between the novel requirements under the DSA, we are pleased to share Herzog’s DSA Guide, providing explanation about its scope, practical takeaways and insights.

For the full guide >> click here

Feel free to contact us if you have any questions regarding the new law and its potential effects on your company’s compliance efforts.

Kind regards,

Ariel Yosefi, Partner
Head of Technology & eCommerce Regulation
Herzog Fox & Neeman

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