
Transparency for sponsored content, stop targeted advertising for minors and ban on abusive personalized pricing
AI-generated summary
The European Commission has presented a new legislative proposal to extend and strengthen consumer protection in the digital sector.
More transparency on influencers' sponsored content and a stop to personalized advertising and higher prices aimed at minors and vulnerable consumers. These are some of the innovations envisaged by the Digital Fairness Act (Dfa), the regulation for the protection of online consumers presented by the European Commission.
The proposal aims to make commercial content recognizable on social networks. Influencers will need to clearly indicate when they are paid to promote a product, without presenting advertising and sponsorships as recommendations or personal experiences.
Furthermore, they will not be able to promote products that are dangerous, prohibited by law or presented as suitable for minors when they are not. The obligations will also concern brands and agencies, called to verify compliance with the rules by creators.
The DFA also intervenes on targeted advertising and personalized prices. The bans already foreseen by the Digital Services Act (DSA) for online platforms, which prevent personalized advertising from being directed to minors or based on sensitive data, will be extended to all websites and applications. Furthermore, companies will not be able to offer higher personalized prices to minors and vulnerable consumers, taking advantage of their personal characteristics or conditions.
Among the new features is also the provision of more control for users over the functions of digital platforms which encourage excessive or compulsive use of online services. The proposal will allow consumers to turn off some features designed to keep users on the platforms, such as automatic video playback and notifications not directly related to their activity.
Also in the crosshairs are persistent reminders, which encourage you to continually return to digital services. The provision also aims to combat practices that encourage excessive or compulsive spending. In particular, it provides for the ban for minors of features similar to gambling, such as 'pay-to-win' and 'pay-to-progress' systems, which allow you to advance or obtain advantages in games through payments.
AI outlook — possibilities, not facts
Legislative process of the Digital Fairness Act at the European institutions
Very likely · Within months

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