EU’s Digital Services Act to improve consumer protection online

This Saturday marks the moment the Digital Services Act will apply in full to online platforms and marketplaces. Consumers will be better protected from rogue sellers, no longer have their sensitive or children’s data used for targeted ads, and can opt for more privacy regarding recommender systems.

Ursula Pachl, Deputy Director General of the European Consumer Organisation (BEUC), said:

“The internet has been left to the whims of Big Tech for too long. The Digital Services Act is going to improve things by better protecting consumers and giving them more choice, for example by allowing them to opt for more privacy when it comes to recommender systems when they go online. Children’s data will no longer be able to be used for targeted ads. Regulating online content was long overdue given how many dangerous or illegal goods get sold on online marketplaces, which consumer groups have repeatedly warned authorities about.

“What is now crucial is that Member States establish the supervisory authorities which will enforce the Digital Services Act and provide them with the necessary resources and expertise. Some countries are lagging behind and enforcement at national and EU level is absolutely key to bring the Digital Services Act to life and make it deliver for people.”

Main changes of the Digital Services for consumers:

• Online marketplaces will have to verify that sellers on their platforms are legitimate.

• Online platforms must provide more transparency about how their algorithms work.

• Consumers will be able to choose the level of personalisation of recommender systems on very large online platforms and marketplaces.

• Online advertisers will not be able to use sensitive types of data such as sexual orientation, religion or political beliefs to serve targeted ads, nor will they be able to use children’s data for targeted ads.

• Consumers will be able to join forces using collective redress litigation if a company does not respect their rights under the Digital Services Act.