From Ars Technica · · 1m 30s
Trump backs Musk against EU's €120 million fine
The US Department of Justice is intervening in X's legal fight against European regulators, escalating tensions over tech regulation.
In brief
The US Department of Justice is intervening in X's legal fight against European regulators, escalating tensions over tech regulation. The Trump administration is using its legal power to challenge EU authority over American tech companies, marking a major shift in US-EU tech relations. Originally reported by Ars…
Trump joins Musk's EU fight
The US Department of Justice filed to intervene in X's appeal against a €120 million fine from the European Commission, marking direct government support for Musk's legal challenge.
The fine and the charges
The European Commission fined X €120 million in December for breaking the Digital Services Act, citing violations on transparency, data access, and deceptive design of its verification system.
US claims regulatory overreach
The DOJ argues the EU improperly extended its authority to American companies and calculated the fine using Musk's other companies' revenue rather than X's earnings alone.
“The European Commission inappropriately attempted to expand its regulatory authority to reach American companies not present or operating within its jurisdiction.”
Trump calls it extortion
President Trump has criticized EU fines as overseas extortion and taxation, while Vice President JD Vance and other officials have attacked the Digital Services Act as unfairly targeting American companies.
Broader EU investigation continues
The EU is also investigating X for other potential Digital Services Act breaches, including whether the company properly assessed risks from integrating its AI chatbot Grok for European users.
Part of larger tech conflict
Apple is also appealing a €500 million EU fine, and Trump previously tried to influence Apple's challenge against a €13 billion Irish tax bill, showing a pattern of administration opposition to EU tech penalties.
The headline
The Trump administration is using its legal power to challenge EU authority over American tech companies, marking a major shift in US-EU tech relations.
