EU Probes Temu’s Digital Strategy Over Safety and Engagement Tactics

If found in violation of the DSA, Temu could face substantial penalties for breaches of Articles 27, 34, 35, 38, and 40. Margrethe Vestager, the EU’s Executive Vice President for Europe Fit for the Digital Age, stressed the importance of compliance, saying, “We want to ensure that Temu is complying with the Digital Services Act, particularly in protecting consumer safety and ensuring fair market competition.”

The investigation sets a significant precedent for how the EU regulates digital platforms, and Temu’s case will likely serve as a benchmark for other companies. As the probe unfolds, it highlights the EU’s commitment to enforcing the DSA and balancing rapid digital growth with consumer protection in the European market.

Lastly, the EU seeks to determine whether Temu is meeting the DSA requirement that it grant researchers access to data available in the platform for the purpose of promoting accountability in the digital markets. These pieces of information should be available for independent analysis and for the sake of the general public.

Should Temu be found to be in contravention of the DSA, then fines could be levied for violation of Articles 27, 34, 35, 38, and 40 in particular. ‘We want to make sure that Temu is following the letter and spirit of the Digital Services Act,’ said Margrethe Vestager, the EU’s Executive Vice President for Europe Fit for the Digital Age.

The investigation is a large example of how the EU sanctions digital platforms: Temu’s example will turn into a rule bar for other firms. The investigation, emphasizes the EU’s efforts to promote the DSA regulation and ensure the sustainable development of fast-growing digital services to protect consumers in the European market.