Zalando is the first German company to oppose being classified as a very large internet platform by the European Union. The online fashion retailer announced on Tuesday that it had appealed the decision. The criteria for counting users are unclear and inconsistent. In addition, Zalando poses no “systemic risk” for the distribution of harmful or illegal content from third parties. The EU declined to comment on this topic.
With the lawsuit, the company wants to avert stricter regulations under the Digital Services Act (DSA). This law is designed to force online businesses with a certain number of users to take stronger action against hate speech and other illegal content on the Internet.
Manipulative practices that encourage users to buy are prohibited, as is advertising directed at children. In addition, large platforms must give users more influence over which advertisements they see in the future.
In addition to Zalando, the EU also rates online retailer Amazon, iPhone provider Apple and internet company Google as a “Very Large Online Platform” (VLOP). The companies have until August to implement the stricter regulations. Violations can lead to fines of up to six percent of annual turnover.
Source: Krone
I’m Ben Stock, a journalist and author at Today Times Live. I specialize in economic news and have been working in the news industry for over five years. My experience spans from local journalism to international business reporting. In my career I’ve had the opportunity to interview some of the world’s leading economists and financial experts, giving me an insight into global trends that is unique among journalists.
