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Amazon challenges EU content rules, claims it isn't a 'Very Large Online Platform'

July 11, 2023
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Amazon is contesting its classification by the European Union under the Digital Services Act, which imposes stricter regulations on large online platforms. The tech giant asserts that it does not fit the criteria due to its primary revenue not being advertising-focused and has taken legal steps to challenge this classification.

Amazon's Petition: Amazon has filed a petition in Luxembourg's General Court to challenge its categorization as one of the 17 "very large online platforms" under the EU's Digital Services Act.
  • The company argues that it should not be classified as a VLOP because its primary source of income is not advertising.
  • Amazon maintains that if it were subject to these rules and not other large retailers in the EU, it would be unfairly singled out and burdened with unnecessary administrative obligations.

  • EU's Digital Services Act (DSA): The DSA, implemented in November of the previous year, imposes stricter regulations on companies with over 45 million monthly active users to police hate speech, disinformation, and counterfeits on their platforms.
  • Companies must comply with various measures, including submitting risk assessments and conducting external and independent audits, or risk penalties of up to 6% of their annual revenue.

  • Other Companies' Reactions: Amazon is not the only company contesting its VLOP status; German online fashion retailer Zalando also filed a suit last month.
  • Zalando, like Amazon, argues that its primary business is retail and therefore should not be classified as a VLOP under the DSA.
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