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- The European Commission is probing Elon Musk's social media platform X.
- The commission cited concerns over risk management and content moderation, among other others.
- Elon Musk has previously suggested taking X out of Europe to avoid the regulation.
The European Commission has opened formal proceedings against X, citing concerns the platform wasn't compliant with some key articles in the Digital Services Act.
The DSA, which came into effect in August, requires social-media platforms to have effective and transparent systems in place to moderate and remove false or harmful information in Europe.
The investigation of Elon Musk's platform will focus on the spread of illegal content and the systems in place to combat it. These systems include X's "community notes" and blue tick verification system, the Commission said.
Thierry Breton, commissioner for internal market, said on Monday, "Today's opening of formal proceedings against X makes it clear that, with the DSA, the time of big online platforms behaving like they are too big to care has come to an end."
He added, "We now have clear rules, ex ante obligations, strong oversight, speedy enforcement, and deterrent sanctions and we will make full use of our toolbox to protect our citizens and democracies."
The decision is a formal step that signals European scrutiny is ramping up for Musk's platform.
The investigation could eventually lead to X facing fines of up to 6% of their global turnover. There are several more steps before this could occur, however, and the regulator has not yet laid out any clear deadlines.
A representative for X told Business Insider: "X remains committed to complying with the Digital Services Act, and is cooperating with the regulatory process. It is important that this process remains free of political influence and follows the law. X is focused on creating a safe and inclusive environment for all users on our platform, while protecting freedom of expression, and we will continue to work tirelessly towards this goal."
Musk has previously suggested X could stop being accessible in Europe to avoid regulation enacted by the European Commission.
The billionaire was frustrated about having to comply with the Digital Services Act, a person familiar with the company told Business Insider's Kali Hays.