Antitrust Law Daily Wrap Up, ANTITRUST NEWS: EC places DSA designations on ChatGPT, Reddit, and Roblox, (Aug 31, 2026)
Organizations Mentioned:ChatGPT | Reddit | Roblox
By Peter Reap, J.D., LL.M.
The companies will now have four months to comply with their new DSA obligations.
The European Commission (EC) announced that it has designated ChatGPT as a Very Large Online Search Engine (VLOSE), as well as Reddit and Roblox as Very Large Online Platforms (VLOPs), under the Digital Services Act (DSA). The designations follow declarations from the services confirming that they reach at least 45 million average monthly users in the EU and thus meet the threshold for designation. The services have four months to comply with the additional DSA obligations for VLOPs and VLOSEs, such as assessing and mitigating the systemic risks stemming from their service and algorithmic systems related to the dissemination of illegal content, the negative effects on minors, users' physical and mental well-being, fundamental rights, electoral processes and public security.
About the companies. ChatGPT is an Artificial Intelligence (AI) system that can engage with and respond to users' prompts and queries, including by searching the web. Hence, ChatGPT is a hybrid service that qualifies as an online search engine under the DSA. Reddit is a discussion-based platform that enables users to create, share, and interact with content within topic-based communities. Roblox is an immersive gaming and creation platform that enables users to create, publish, and play games developed by other users.
As these three services enable users to disseminate third-party content to the public, they qualify as online platforms under the DSA. Roblox, Reddit and ChatGPT are already subject to the general obligations applicable to online platforms and search engines under the DSA, respectively.
New EC powers, supervision. With these designations, the Commission will gain investigative powers to assess the functionalities behind these services and, where applicable, any related system. The Commission will be competent to supervise compliance with the DSA, in cooperation with Coimisiún na Meán for ChatGPT and Reddit, and the Authority for Consumers and Markets (ACM) for Roblox. These entities serve as the Digital Services Coordinators respectively for Ireland and for the Netherlands, where the designated services are established.
DSA designations. The EC has now designated 28 very large online platforms and search engines under the DSA. The supervision and enforcement of the DSA is shared between the Commission and Digital Services Coordinators, which are responsible for the enforcement and supervision of the Digital Services Act in the Member States.
Virkkunen comments. Henna Virkkunen, EC Executive Vice-President for Tech Sovereignty, Security and Democracy, said: “These new designations mean that ChatGPT, Reddit and Roblox will now be held to a higher standard of scrutiny and accountability in the European Union, in line with their large impact on our citizens and society. We continue to watch the digital landscape closely and will not hesitate to designate any platform that meets the threshold for enhanced supervision under the Digital Services Act.”
Recent DSA activity by the EC. The EC announced on July 9, 2026, that it has preliminarily found Meta in breach of DSA for the addictive design of Instagram and Facebook. The investigation focuses on features such as infinite scroll, autoplay, push notifications, and the platforms' highly personalized recommender systems. The investigation indicates that Meta did not adequately assess the risks of its addictive design on the physical and mental wellbeing of users, including minors and vulnerable adults. If the EC's views are ultimately confirmed, the Commission may issue a non-compliance decision, which can trigger a fine proportionate to the nature, gravity, recurrence and duration of the infringement, capped at 6% of the total worldwide annual turnover of the provider.
In May of this year, the EC fined Temu €200 million for failing to diligently identify, analyze, and assess the systemic risks of illegal products being offered on its platform and the resulting harm to consumers in the European Union. The EC found that Temu seriously underestimated how often EU consumers are likely to encounter illegal items and did not properly assess how the design of its service - including recommender systems and product promotion programs by affiliated influencers - could amplify dissemination risks of illegal products.
In April, EC announced its preliminary finding that Meta Platforms, Inc., was in breach of the Digital Services Act for failing to prevent minors under 13 years old from using the company’s Instagram and Facebook social media platforms.
Companies: ChatGPT; Reddit; Roblox
News: Antitrust ConsumerProtection Privacy AINews GCNNews