Meta and TikTok have filed lawsuits against the European Commission, claiming that a yearly fee under the Digital Services Act (DSA) is unfair and wrongly calculated. The DSA, which became law in 2022, requires large platforms to pay 0.05% of their global net income to help fund the EU’s monitoring efforts. A total of 19 major tech companies are affected.
In court, Meta argued that it wasn’t refusing to pay but wanted clarity on how the EU calculated the fee. Meta’s lawyer said the European Commission used group-level revenue instead of income from its European subsidiary, leading to inflated fees. He described the process as a “black box” with “absurd results.”
TikTok, owned by ByteDance, also challenged the method. Its lawyer said the Commission used inaccurate numbers, possibly counting users twice if they switched between devices. He argued the platform was being charged not just for its own usage but partly for others too. TikTok also criticized the use of group profits to set the fee cap.
The European Commission defended its approach. Its lawyer said that when a company has consolidated accounts, it makes sense to assess the entire group’s financial strength. She claimed all companies were given enough information and had no reason to feel unfairly treated or silenced.
The EU’s General Court is now reviewing both cases — T-55/24 (Meta) and T-58/24 (TikTok). A final decision is expected in 2026. This case reflects rising tensions between Big Tech and EU regulators, especially as enforcement under the DSA becomes more aggressive and costly.