WhatsApp’s popularity could come under pressure since EU authorities are in the process of determining whether the messaging app follows rules set in the Digital Services Act regarding transparency and content moderation. Currently, the EU is scaling up control to dominant Internet companies to protect the users, restrict fake information dissemination, and increase corporations’ responsibility. In case WhatsApp becomes recognized as a “Very Large Online Platform” (VLOP), the company will need to face more restrictive requirements. Such reforms also sit well with the EU approach to regulate digital governance and box in the large tech companies.

Highlights:

• WhatsApp may face stricter EU regulations under the Digital Services Act.
• The European Commission is assessing whether WhatsApp qualifies as a VLOP.
• New rules would require greater transparency and content moderation efforts.
• Tech giants face higher compliance costs and potential penalties for violations.
• The DSA aims to enhance digital governance and hold platforms accountable.

Essentially, the DSA regulates that VLOPs are subject to the stricter regime, the form of obligatory risk evaluations, elevated levels of content moderation, and greater disclosure of data. WhatsApp with more than two billion users globally may be required to reveal how it deals with false information and other content that causes harm. Such classification would mean extra reporting requirements and increased Regulation on its activities in the EU making it costly and complex for Meta, the parent company of WhatsApp.

WhatsApp is in the middle of the company’s regulation by the European Commission to qualify for VLOP, which comprises user engagement, systematic threats, and the extent to which the program influences the public. In its case, if designated, WhatsApp needs to put up new measures against illegal content dissemination, also it must offer better content moderation and distribution formulas, and enhance the reporting systems. Noncompliance could attract severe penalties to Meta in the form of fines, which may amount up to 6% of the company’s global revenue.

WhatsApp employs algorithms as active tools and participates in facial recognition, and so as the EU establishes its new frameworks of digital governance, the power of WhatsApp may be lessened in Europe. Meta has recently raised the awareness of transparent policies and practices, but the regulators still worry about Big Tech’s power. Over the past year, a change of the DSA raised concerns on how it may affect, in particular, the centralized content moderation policies as well as rights and responsibilities of WhatsApp and other messaging platforms worldwide.