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Policy 5 min read Published Updated Credibility 71/100

European Commission opens consultation on Digital Services and Markets Acts

The European Commission launched public consultations on the forthcoming Digital Services Act and Digital Markets Act on 2 June 2020, seeking input on platform accountability, competition rules, and enforcement options.

Kodi C.

Editor & Research Lead

Verified for technical accuracy — Kodi C.

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Quick summary

On , the European Commission launched public consultations on the Digital Services Act (DSA) and Digital Markets Act (DMA), two landmark regulatory proposals intended to comprehensively update the EU's framework for online platforms and digital markets. These consultations invited stakeholder input on platform accountability, content moderation, competition enforcement, and gatekeeper obligations ahead of formal legislative proposals.

Digital Services Act Scope

The DSA consultation addressed modernizing the e-Commerce Directive's platform liability framework:

  • Liability review: Questions explored whether the "mere conduit," "caching," and "hosting" liability exemptions remain appropriate for platforms that actively curate, recommend, and monetize user content.
  • Notice-and-action procedures: Proposals for standardized mechanisms requiring platforms to act on reports of illegal content within specified timeframes.
  • Due diligence obligations: Graduated compliance requirements based on platform size and societal impact, with improved obligations for very large platforms.
  • Transparency reporting: Requirements for platforms to publish data on content moderation volumes, removal rates, and appeal outcomes.
  • Algorithmic transparency: Disclosure requirements for recommendation systems and targeted advertising parameters.

Digital Markets Act Scope

The DMA consultation focused on ex-ante competition regulation for digital gatekeepers:

  • Gatekeeper designation: Criteria for identifying platforms with significant market power requiring improved regulatory obligations.
  • Prohibited practices: Self-preferencing in search rankings, data combination across services without consent, and exclusionary terms preventing multi-homing.
  • Interoperability mandates: Requirements for messaging interoperability and access to platform APIs.
  • App store fairness: Restrictions on app store practices limiting alternative distribution or payment mechanisms.
  • Data portability: Enhanced rights for users and businesses to port data between competing services.

Regulatory Context

The consultations reflected broader EU digital policy priorities:

  • Digital single market: Completing the internal market for digital services with harmonized rules across member states.
  • Competition concerns: Addressing market power concentration among dominant platforms through ex-ante regulation rather than solely ex-post antitrust enforcement.
  • Democratic resilience: Concerns about platform impacts on elections, public discourse, and information quality.
  • Global leadership: Establishing EU regulatory models potentially influencing global platform governance.

Stakeholder Considerations

Different stakeholder groups faced distinct implications:

Large platforms: Potential designation as gatekeepers subject to improved obligations, behavioral restrictions, and significant penalties for non-compliance.

SME platforms: Lighter obligations but still subject to baseline requirements; potential benefits from gatekeeper restrictions on anticompetitive practices.

Business users: Enhanced transparency rights, appeal mechanisms, and protections against unfair platform practices.

Consumers: Improved transparency about content moderation, advertising targeting, and platform governance.

Compliance Preparation

If you are affected, begin preparing for potential obligations:

  • Content moderation: Document current practices, develop flexible notice-and-action workflows, and prepare for transparency reporting.
  • Algorithmic systems: Inventory recommendation and ranking systems, prepare disclosure documentation, and consider explainability requirements.
  • Data practices: Review data combination across services, consent mechanisms, and portability capabilities.
  • App store policies: Assess current practices against potential fairness requirements.

Consultation Process

The Commission sought input from diverse teams:

  • Platforms and digital services
  • Civil society and consumer organizations
  • Academic researchers
  • Member state governments
  • Business users and industry associations

Responses informed the Commission's formal legislative proposals published in December 2020.

Final assessment

The DSA and DMA consultations marked the beginning of the EU's most significant update to digital platform regulation since the e-Commerce Directive. If you are affected, monitor legislative development and prepare for full compliance obligations addressing content moderation, algorithmic transparency, and competition concerns.

See also

Selected articles on related subjects.

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Coverage intelligence

Published
Coverage pillar
Policy
Source credibility
71/100 — medium confidence
Topics
Digital Services Act · Digital Markets Act · platform regulation · EU consultation
Sources cited
2 sources (iso.org, crsreports.congress.gov)
Reading time
5 min

Cited sources

  1. Industry Standards and Best Practices — International Organization for Standardization
  2. Congressional Research Service Analysis
  • Digital Services Act
  • Digital Markets Act
  • platform regulation
  • EU consultation
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