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Musk’s X Loses Court Fight With Australia Over Social Media Fine

The logo of X, the social media platform formerly known as Twitter. Photographer: Tuane Fernandes/Bloomberg (Tuane Fernandes/Bloomberg)

(Bloomberg) -- An Australian judge rejected an attempt by social media platform X to wipe a A$610,500 ($418,100) fine levied by a watchdog, a notable victory in the country’s battle with global internet companies.

On Friday, the court threw out X’s petition and ordered Elon Musk’s company to pay all proceedings. That ends a lawsuit that arose after Australia’s eSafety commissioner fined the platform, saying it didn’t adequately respond to queries about efforts to crack down on child-abuse content. Under domestic law, social media companies must explain how they’re meeting basic expectations for online safety.

Australia’s government has increasingly pressured global tech firms to better police content. Over the past year, it’s taken X, formerly known as Twitter, to court to attempt to remove a violent video of a terrorist attack. And it flagged it would introduce age limits for teenagers using social media.

Last month, Musk labeled the Australian government “fascists” over proposed new laws to curtail digital misinformation. 

Under the proposed legislation, social media companies could be fined up to 5% of their annual revenue if they fail to take steps to “manage the risk that misinformation and disinformation on digital communications platforms poses in Australia.”

X didn’t respond to queries sent after normal business hours to its media email addresses.

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--With assistance from Zoe Ma.

©2024 Bloomberg L.P.