The European Union has asked[1] several major platforms to explain how they are dealing with online financial scams. Letters were sent to Apple’s App Store, Google Play, Bing, Google Search, and Booking.com under the requirements of the Digital Services Act.
Focus on Fraudulent Content
Officials want to know what measures the companies use to spot and reduce the presence of fake or harmful material. For Apple’s App Store and Google Play, the inquiry looks at apps that mimic banking or investment services. Booking.com has been asked to clarify how it prevents false accommodation listings that trick users into paying for rooms that do not exist. In the case of Bing and Google Search, the Commission is examining how search results and advertisements are checked for links leading to fraudulent websites.
Business Verification and Ad Repositories
The request also covers identity checks for businesses operating on these platforms. Regulators want details on how firms apply “Know Your Business Customer” rules, which are designed to confirm the legitimacy of sellers and service providers before they are allowed to operate. In addition, the companies have been asked to share information about their advertising databases, which record the ads placed on their platforms and can help uncover recurring patterns used by scammers.
Wider Context
Scams remain a growing issue worldwide. The Federal Trade Commission in the United States reported consumer losses of $12.5 billion in the past year, compared with $10 billion the year before. Fraud schemes often appear across many channels, including phone calls, text messages, and investment offers.
Obligations Under EU Law
The Digital Services Act requires large online platforms and search engines to assess systemic risks and put in place effective measures to protect consumers. Failure to comply can lead to fines of up to 6 percent of global turnover for each violation.
Notes: This post was edited/created using GenAI tools.
Read next: WhatsApp Adds Built-In Message Translation[2]
References
- ^ asked (digital-strategy.ec.europa.eu)
- ^ WhatsApp Adds Built-In Message Translation (www.digitalinformationworld.com)