The European Commission has issued preliminary findings indicating that Meta Platforms, the parent company of Facebook and Instagram, has violated the Digital Services Act (DSA). The Commission asserts that Meta failed to provide users with straightforward mechanisms to report illegal content and to effectively challenge content moderation decisions.
According to the Commission, both Facebook and Instagram lack user-friendly “Notice and Action” systems, making it cumbersome for users to flag illegal content such as child sexual abuse material and terrorist content. The platforms are also accused of employing “dark patterns,” or deceptive interface designs, that complicate the reporting process. Additionally, the Commission found that the content moderation appeal mechanisms do not allow users to provide explanations or supporting evidence, thereby limiting the effectiveness of the appeals process.
In response, a Meta spokesperson stated that the company disagrees with the findings but is committed to working with regulators to address the concerns. The spokesperson highlighted that Meta has introduced changes to its content reporting options, appeals process, and data access tools since the DSA came into force and is confident that these solutions align with EU requirements.
These preliminary findings are part of the EU’s broader efforts to enforce the DSA, which aims to hold large online platforms accountable for user safety and transparency. If the violations are confirmed, Meta could face fines of up to 6% of its annual global revenue, potentially amounting to billions of dollars.
As of October 24, 2025, Meta’s stock price stands at $739.52, reflecting a slight increase from the previous close. The company’s market capitalization is approximately $1.86 trillion, with a price-to-earnings ratio of 25.95 and earnings per share of $27.56.
Meta now has the opportunity to respond to the Commission’s findings and implement corrective measures. The outcome of this case will be closely watched, as it may set a precedent for how the EU enforces digital regulations against major tech companies.