MEPs recently approved two separate reports calling on the European Commission to address what they believe are shortcomings in the online environment in its Digital Services Act package, which is due to be presented in December.

The current EU rules for digital services have remained largely unchanged since an eCommerce Directive was adopted 20 years ago.

The EU is hoping that its new package of measures will shape the digital economy at EU level, as well as emulating its GDPR data-protection rules in setting standards for the rest of the world.

The two reports backed by MEPs were from the parliament's committee on the internal market and consumer protection, and its legal affairs committee.

Illegal online content

MEPs want all digital-service providers established in third countries to adhere to the Digital Services Act’s rules when their services are also aimed at consumers or users in the EU.

They want a binding ‘notice-and-action’ mechanism so that users can notify online intermediaries about potentially illegal online content or activities. MEPs believe this would help online intermediaries to react quickly, and be more transparent about the actions they have taken on potentially illegal content.

Strict distinction

The parliament has also called for a strict distinction to be made between ‘illegal content’ and ‘harmful content’, saying the legal-liability regime should concern illegal content only as defined in EU or national law. ‘Harmful content’ includes fake news or disinformation, which is not illegal and is protected under freedom-of-speech rules.

MEPs believe digital platforms should not use upload filters or any form of ex-ante (before the event) content control for harmful or illegal content, arguing that the final decision on whether content is legal or not should be taken by an independent judiciary “and not by private undertakings”.

Tackling rogue traders

Parliament also put forward its views on how to make the internet safer for consumers, saying that “what is illegal offline is also illegal online” should be the guiding principle behind the Digital Services Act.

MEPs say platforms and online services need to get better at detecting and taking down false claims and tackling rogue traders, such as those selling false medical equipment or dangerous products online during the COVID-19 pandemic.

As part of this, they want platforms to be required to check and stop fraudulent companies using their services to sell illegal or unsafe products or content.

Targeted advertising

Parliament has also called on the commission to table specific rules to prevent market failures caused by big digital platforms, and open up markets to new entrants.

MEPs also want to provide users with more control over what they see online, including being able to opt out of content curation altogether, and to make them less dependent on algorithms.

Their proposals include more strict regulation of targeted advertising in favour of “less intrusive, contextualised forms of advertising that require less data and do not depend on previous user interaction with content”.

MEPs also call on the commission to look at going further on targeted advertising, including a phase-out leading to a complete ban.