The European Commission said on August 31 that OpenAI’s ChatGPT, Reddit, a US-based social media platform, and Roblox, a US-based video game platform, will face tighter oversight under the Digital Services Act after each surpassed 45 million monthly users in the European Union.

ChatGPT was designated a very large online search engine, while Reddit and Roblox were labeled very large online platforms.

The designation adds obligations under the Digital Services Act, including transparency reports, risk-mitigation plans, and an annual fee paid to the EU.

Companies that fail to comply with the rules can be fined up to 6% of annual global sales.

The decision adds to the European Commission’s enforcement of the Digital Services Act, which took effect in 2022 and has drawn criticism from US President Donald Trump’s administration.

🔗 Source: Bloomberg

Recent OpenAI developments