On 5 December 2025, the European Commission announced its first-ever Digital Services Act (DSA) non-compliance decision, issuing a €120 million fine to X (formerly Twitter).
The European Commission’s Simplification Agenda aims to boost competitiveness by cutting reporting requirements by 25% and reducing regulatory costs for businesses by up to €40 billion, as outlined in the 2025 Competitiveness Compass.
The European Commission’s SME Relief Package is a response to the growing challenges faced by small and medium-sized enterprises (SMEs) across the EU, including excessive red tape, regulatory fragmentation, and weak cross-border scalability.
Europe’s ambition to lead in emerging technologies is being held back by a fragmented and risk-averse regulatory culture. Despite repeated promises to reduce red tape, EU institutions continue to introduce overlapping digital laws that place a heavy compliance burden on startups, reinforce incumbent advantages, and discourage innovation.