AIG Newsletter 31 January 2022

DIGITAL SERVICES ACT (DSA)

European Parliament adopts position on the DSA

On 20 January, the European Parliament voted on the IMCO Committee’s final DSA report during its plenary session, as well as new amendments that MEPs pushed through ahead of the vote. The report was adopted with a large majority of 530 in favour and 78 against, and would be used as the mandate to negotiate with the French Presidency of the Council. 

The EP introduced several changes to the Commission’s proposal, including the exemption of SMEs from certain DSA obligations, additional transparency requirements for targeted advertising, the prohibition of targeting on the basis of special categories of data, and the prohibition of online platforms using “dark patterns” to influence consumer behaviour. Amendments successfully pushed through also focused on the designation of very large online platforms (VLOPs), interoperability, and targeted advertising. However, most of the more contentious proposals, such as an outright ban on targeted advertising, were rejected.

Parties calling for a media exemption in the DSA had mixed success. MEPs approved an amendment to consider media freedom in the terms and conditions of platforms. However, other amendments carving out the sector from the DSA were rejected. IAB Europe was quoted in various outlets warning against the measures as they would strengthen the gatekeeper role of dominant players.

ALCOHOL AND FOOD ADVERTISING

EP BECA Report on strengthening Europe in the fight against cancer – towards a comprehensive and coordinated strategy  

On Friday, the AIG contacted over 200 targeted MEPs from relevant EP Intergroups with a proposed amendment to a concerning proposal contained in the EP’s Special Committee on Beating Cancer (BECA) draft Report. The proposal called for the prohibition of alcohol advertising and sponsorship of sports events (paragraph 16). The EP Plenary is currently scheduled to vote on 14 February.

POLITICAL ADVERTISING

EDPS publishes its Opinion on transparency and targeting of political advertising

On 20 January, the EDPS published its Opinion on the Proposal for Regulation on the transparency and targeting of political advertising. The EDPS welcomed the aim of the Proposal to lay down transparency obligations for providers of political advertising and the use of targeting and amplification techniques. On online targeted advertising, the EDPS urged the co-legislators to consider stricter rules, such as (1) a full ban of microtargeting for political purposes; and (2) introducing further restrictions of the categories of data that may be processed for the purposes of political advertising, including targeting and amplification.

Today, the AIG submitted a response to the EC’s call for feedback, which will form the basis of our initial outreach to the EP. Our initial concerns are over the scope of the regulation and the definitions of political advertising captured under Article 2.

FRENCH PRESIDENCY

President Macron presents French Presidency’s priorities to the European Parliament  

On 19 January, the EP met in Plenary to debate the French Presidency’s priorities for the presidency of the Council. French President Emmanuel Macron underlined the importance of addressing growing inequality, climate, digital and security challenges and provided an overview of the legislative priorities of the French Presidency.

On digital issues, the President said he wanted a Europe "that knows how to regulate digital players" and to "protect our rights, our freedoms, respect for our private lives" He also spoke about protecting EU citizens and businesses against the practices of the Big Tech, flagging the DSA.

EP IMCO discussed the Presidency programme with the French ministers 

On 25 January, the EP IMCO heard the Presentation of the French Presidency's programme with the Minister of State for the Digital Transition and Electronic Communication, Cédric O. On the DSA, Mr O said it was necessary to regulate digital giants while avoiding blocking of the market and reiterated the ambition of the Presidency to conclude the file. 

On online advertising, Alexandra Geese (Greens/EFA, DE) asked if the Council would reconsider its position on surveillance advertising and assess the issue in terms of competitivity. Mr O replied that the Council did not have a position yet, adding that it was an important issue but acknowledging that privacy discussions were complex. He also mentioned the potential damage for some sectors, in particular the media.

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DATES FOR YOUR DIARY 

1 February: Supporting SMEs post-pandemic – How can policymakers ensure digital helps SME growth?, EURACTIV and GIGAEurope 

3 February: ‘Masters of the Digital 2022 conference’, DIGITALEUROPE 

3 February: AIG Exchange, 3-4 pm CET. 

7 February: ‘Building Europe’s digital sovereignty’, French Presidency