'Insane': How Elon Musk reacted to EU's $140m fine on X & why the platform was penalised

Elon Musk on Saturday slammed the European Union’s $140 million fine on his social media platform X, calling the penalty “crazy” and “insane” in a post on the site. Taking to the site, he said, "The EU imposed this crazy fine not just on @X, but also on me personally, which is even more insane!"

"Therefore, it would seem appropriate to apply our response not just to the EU, but also to the individuals who took this action against me."


The penalty comes after a two-year investigation into X under the EU’s Digital Services Act (DSA) and represents the first formal non-compliance ruling since the sweeping framework was introduced. The DSA requires major digital platforms to assume greater responsibility for user safety, curb illegal or harmful content, and maintain full transparency in their advertising and data practices.

“Freedom of speech is the bedrock democracy. The only way to know what you are voting for,” he posted earlier on X.

Regulators concluded that X violated three different transparency requirements. According to the Commission, the platform’s current blue checkmark system amounted to “deceptive design practices” that can expose users to scams.

Prior to Musk’s takeover in 2022, badges on the former Twitter were mostly reserved for prominent public figures, however, after the acquisition, X began issuing the symbols to anyone prepared to pay $8 per month. The Commission argued that this system does not “meaningfully verify who's behind the account,” making it harder for users to judge authenticity.

The EU also faulted X for shortcomings in its digital ad database, which is legally required to disclose who paid for advertisements and the audiences targeted. Officials said the platform’s system is weakened by built-in limitations, delays and access obstacles that make it harder for researchers to identify scams and influence campaigns. Regulators further accused X of placing “unnecessary barriers” in the way of researchers seeking public data relevant to systemic risks.

Henna Virkkunen, the EU’s executive vice-president for tech sovereignty, security and democracy, said in a prepared statement, “Deceiving users with blue checkmarks, obscuring information on ads and shutting out researchers have no place online in the EU. The DSA protects users.”

The ruling has fuelled criticism from Washington, where senior officials have long accused Brussels of singling out American technology companies. US Secretary of State Marco Rubio posted on X that the punishment was aimed at the United States rather than at one social platform. “The European Commission’s $140 million fine isn’t just an attack on X, it’s an attack on all American tech platforms and the American people by foreign governments,” Rubio wrote.

“The days of censoring Americans online are over.” Musk went on to agree with his statement.

Vice President JD Vance also pre-empted the decision on X, claiming the Commission sought to fine the platform “for not engaging in censorship.” He added: “The EU should be supporting free speech not attacking American companies over garbage.”

Despite the backlash, European officials rejected suggestions that the DSA is designed to suppress major American firms. Commission spokesperson Thomas Regnier told reporters in Brussels, “The Commission is not targeting anyone, not targeting any company, not targeting any jurisdictions based on their color or their country of origin. Absolutely not. This is based on a process, democratic process.”

In a separate action taken the same day, EU regulators closed another DSA case involving TikTok, after the video platform committed to making changes to ensure full transparency in its advertising database.


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