X announced Friday that it is challenging a $140 million fine imposed by the European Commission under what critics call the bloc’s digital “censorship” law.
The social media company was hit with a fine in December 2025 for alleged non-compliance with the European Union’s Digital Services Act (DSA), a sweeping speech-regulation law that allows authorities to penalize companies for failing to remove so-called misinformation or other content deemed illegal. X filed an appeal on Monday in the E.U.’s General Court, arguing it was denied due process and faced a biased enforcement process.
“This EU Decision resulted from an incomplete and superficial investigation, grave procedural errors, a tortured interpretation of the obligations under the DSA, and systematic breaches of rights of defence and basic due process requirements suggesting prosecutorial bias,” X’s Global Government Affairs team said. “X remains committed to user safety and transparency while defending our users’ access to the only global town square.”
X’s move marks the first legal challenge to the Digital Services Act, which critics say enables political censorship and punishment of disfavored viewpoints. The law allows the European Commission to impose significant financial penalties on tech companies it claims are not doing enough to combat so-called disinformation.
The act relies on non-governmental organizations that advise regulators on whether online content may be deemed illegal for violating E.U. standards. It places significant reporting and compliance burdens on tech companies. In certain cases, American tech companies may be fined up to 6% of their global revenue if they violate specific conditions.
The legal challenge is being supported by Alliance Defending Freedom International, which has spoken out extensively against the Digital Services Act.
“X is where millions of people go to freely express their views. This is a crackdown on X by authorities who view a free speech platform as a serious threat to their total control of online narratives,” said Adina Portaru, a senior European counsel for ADF International. “By targeting X, they are targeting the free speech of individuals across the world who simply want to share ideas online free from censorship.”
Portaru said the legal challenge confronts what she described as the enormous power the European Commission wields to define the content moderation rules, launch investigations, and levy fines.
“If the Commission’s concentration of power goes unchallenged, it will further cement a highly problematic standard for speech control across the EU and beyond,” she said.
In October, ADF International led a letter signed by more than 100 free speech advocates urging the European Commission to reconsider the law. In a November review, the commission claimed that the act was content-neutral.
X owner Elon Musk called the fine against his company “bullsh*t” and, one day after it was issued, said the European Union should be “abolished.”
Both the Trump administration and Republicans in Congress have voiced opposition to the law.
“Look, Europe has to be very careful,” Trump said while commenting on the fine back in December. “They’re doing a lot of things. … Europe is going in some bad directions. It’s very bad for the people.”
Last week, House Judiciary Chair Jim Jordan (R-OH) said lawmakers are exploring legislation to protect American companies from penalties under foreign laws that regulate speech. The committee has released documents it says show the European Union pressured tech companies to create guidelines defining acceptable speech on topics ranging from mass migration to men competing in women’s sports.
