In a significant legal battle, an Australian court has upheld a $418,000 fine against Elon Musk’s social media platform X, formerly known as Twitter, for its refusal to comply with a regulator’s request for information about its anti-child-abuse practices. This decision comes after the Federal Court of Australia confirmed the fine against X, which had previously contested the penalty. The court ruled that X was obligated to respond to a notice from the eSafety Commissioner, an internet safety regulator, demanding details about measures implemented to combat child sexual exploitation material on the platform.
X had attempted to evade responsibility by arguing that it was not obligated to respond to the notice in early 2023. The company claimed that it had been incorporated into a new Musk-controlled corporate entity, thus eliminating its liability. However, the court rejected this argument, highlighting the importance of social media platforms adhering to regulatory obligations.
The eSafety Commissioner, Julie Inman Grant, emphasized the significance of the ruling, stating, “Had X Corp’s argument been accepted by the Court it could have set the concerning precedent that a foreign company’s merger with another foreign company might enable it to avoid regulatory obligations in Australia.” This case underscores the Australian government’s commitment to ensuring the safety of children online and holding social media platforms accountable for their actions.
Beyond this specific case, the Australian government has shown an increased scrutiny of social media platforms. In April 2024, Musk faced criticism from Australian Prime Minister Anthony Albanese for removing a violent video from X. The following month, Musk responded by criticizing the government’s call for a “social license” for social media platforms. This ongoing tension highlights the growing debate around the responsibilities and power dynamics between governments and social media giants.
Furthermore, Australian Prime Minister Albanese has also targeted Meta Platforms Inc., led by Mark Zuckerberg, urging the company to continue paying local media organizations for their content. The Australian government’s proactive approach towards regulating social media platforms underscores its commitment to protecting its citizens and fostering a responsible online environment.