Digital Services Act

Overview

The Digital Services Act (DSA) establishes a single set of rules for digital services across the EU. It creates a tiered system of obligations based on the type and size of service, with the most significant requirements for Very Large Online Platforms (VLOPs) and Very Large Online Search Engines (VLOSEs).^[1]

The DSA applies to all digital services offered to EU users, regardless of where the provider is established.

Service Categories and Obligations

Obligations for All Services

Legal Representative (Article 13)

Non-EU providers must designate a legal representative in an EU Member State where they offer services.

Transparency Reporting (Article 15)

Annual reports on:

• Content moderation activities
• Number of orders received from authorities
• Number of notices processed
• Use of automated content moderation

Additional Obligations for Hosting Services

Notice and Action (Article 16)^[2]

Providers must have mechanisms to receive notices about illegal content and must:

• Acknowledge receipt of notices
• Process notices without undue delay
• Notify the submitter of the outcome
• Provide clear reasoning for decisions

Statement of Reasons (Article 17)

When restricting content, providers must inform affected users of the specific reasons and the facts and circumstances, legal or terms-based grounds, information about redress options, and where applicable, algorithm involvement.

Additional Obligations for Platforms

Internal Complaint System (Article 20)

Platforms must provide users with access to internal complaint mechanisms for at least 6 months after moderation decisions.

Out-of-Court Dispute Resolution (Article 21)

Enable access to certified dispute resolution bodies.

Trusted Flaggers (Article 22)

• Prioritize notices from certified "trusted flaggers"
• Process such notices expeditiously
• Trusted flagger status granted by Digital Services Coordinators

Anti-Manipulation (Article 25)

Platforms must suspend accounts that frequently provide manifestly illegal content.

Recommender System Transparency (Article 27)

Clearly describe main parameters of recommender systems and provide at least one option not based on profiling.

Online Marketplaces (Article 30-32)^[3]

• KYBC (Know Your Business Customer): Verify identity of traders
• Compliance by design: Ensure product safety compliance
• Transparency: Inform consumers about seller and product information

Additional Obligations for VLOPs/VLOSEs

Systemic Risk Assessment (Article 34)

Annual assessments of systemic risks including:

• Dissemination of illegal content
• Negative effects on fundamental rights
• Impact on democratic processes and public security
• Gender-based violence and harm to minors

Mitigation Measures (Article 35)

Implement reasonable, proportionate, and effective measures to mitigate identified risks.

Independent Audits (Article 37)

Annual third-party audits of compliance with DSA obligations.

Researcher Data Access (Article 40)

Provide access to data to vetted researchers for research on systemic risks.

Penalties

• VLOPs/VLOSEs: Up to 6% of global annual turnover^[4]
• Other providers: Determined by Member States
• Periodic penalties: Up to 5% of daily turnover
• Repeated violation: Temporary service suspension

Developer Implementation Checklist

Content Moderation

• Implement notice submission mechanisms
• Build workflow for notice processing
• Create statement of reasons templates
• Track moderation decisions for reporting

User Rights

• Build internal complaint handling system
• Enable appeal mechanisms
• Connect to out-of-court resolution

Transparency

• Publish transparency reports
• Document recommender system parameters
• Provide non-profiled content options