The US government is supporting Elon Musk and X in their legal challenge against a €120m EU fine over the platform’s blue verification badges. It argues that the European Commission exceeded its authority by applying EU rules to a US company, raising wider concerns about the reach of European technology regulation.

The fine also covers X’s alleged lack of advertising transparency and restrictions on researchers’ access to public data. It was the Commission’s first formal non-compliance decision under the Digital Services Act, while other investigations into X, including its Grok AI assistant, remain ongoing; EU officials insist the rules apply regardless of nationality and are intended to protect users and democratic standards.