LONDON (AP) — Amazon is contesting its classification as a “very large online platform” under the new European Union digital regulations that will come into effect next month. It is the first Silicon Valley tech giant to challenge these new standards. Amazon has filed a legal challenge with the European General Court, claiming unfair treatment under the EU’s Digital Services Act.
In its filing, Amazon joins German online retailer Zalando, which made a similar argument against the classification two weeks ago. The Digital Services Act imposes new obligations on major tech companies to ensure user safety and prevent the dissemination of illegal content and unsafe products. Violations can result in significant fines or even an EU operating ban.
These regulations, which will take effect on August 25th, are expected to solidify Europe’s role in setting global standards for regulating social media companies and other digital platforms.
Amazon is listed as one of the 19 largest online platforms and search engines under the Digital Services Act. This categorization requires them to enhance moderation efforts to protect European users from hate speech, misinformation, and other harmful online content.
The European Commission, the executive arm of the EU, has declined to comment directly on the case but has stated that it will defend its position in court.
Amazon acknowledges the DSA’s objective of addressing online risks but disputes its categorization as a “very large online platform” primarily generating revenue through advertising and content distribution.
The company emphasizes that the majority of its revenue comes from its retail business and argues that it is being unfairly singled out, as other major retailers in European countries where Amazon operates have not been subjected to the same classification.
The commission maintains that the scope of the DSA is clear, covering all platforms that expose users to content and the sale of potentially illegal products or services.
“Both marketplaces and social networks pose risks due to their wide user reach, which increases their responsibilities to address these risks,” the commission stated.
German e-commerce platform Zalando was the first to challenge the DSA. In its claim last month, the company argued that it does not pose a “systemic risk” of spreading harmful or illegal content from third parties.