EU Proposes New Rules to Control Online Platforms

Summary

The European Union has proposed the Digital Fairness Act to curb deceptive practices on online platforms, including misleading advertising, dark patterns, and addictive features. The rules would also require clearer disclosures for influencer marketing, gaming currency values, and fees before free trials end.

Key Points
  • The EU’s proposed Digital Fairness Act targets deceptive design features, misleading ads, and digital addiction on online platforms.
  • Companies that violate the rules could face fines of up to 6 percent of annual turnover.
  • The proposal would require clearer disclosure for influencer promotions, virtual currency values in games, and fees before free trials end.
  • Consumer groups say the draft does not go far enough, especially on risky investment promotions by influencers.
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