The European Commission has temporarily paused its investigation into X (formerly Twitter), owned by Elon Musk, for alleged violations of the Digital Services Act (DSA)—a decision influenced by ongoing trade negotiations with the United States, according to Foresight News.
Three EU officials revealed that Brussels had hoped to conclude the probe before the summer break, but the timeline is no longer viable. The outcome of U.S.-EU trade talks may now shape the next steps of the investigation, which remains unresolved but politically entangled.
A Regulatory Pause or a Strategic Retreat?
The Commission had launched multiple inquiries into X under the DSA framework, targeting potential failures around content moderation, algorithmic transparency, and systemic risk obligations. These investigations put X among the most scrutinized platforms in Europe.
But with Washington and Brussels working to finalize delicate trade agreements, any move that could escalate friction with U.S. tech giants—particularly those aligned with President Donald Trump—has become a diplomatic risk.
Trump’s Role in the Background
President Trump’s administration has previously accused the EU of targeting American tech companies unfairly, claiming the DSA and related policies amount to protectionism. With Trump poised to be a central figure in transatlantic policy going forward, EU leaders are treading cautiously.
“No one wants to provoke Trump,” one official reportedly said. “Every decision connected to the U.S. has become sensitive in this phase of negotiations.”
The Bigger Picture
The European Union continues to position the DSA as a cornerstone of digital regulation, designed to hold tech platforms accountable for online harms and algorithmic opacity. However, enforcement faces geopolitical pushback when it intersects with strategic trade interests.
The X platform case is just one example of the broader tension between EU sovereignty in digital regulation and the economic and political weight of U.S. tech exports—a tension that could intensify as elections approach on both sides of the Atlantic.
Bottom Line:
The EU’s decision to pause its X investigation reflects how tech policy is no longer just about compliance—but also diplomacy. As trade negotiations with the U.S. take priority, regulatory assertiveness is being recalibrated to avoid sparking transatlantic tensions with a Trump-led America.
