EU adds 3 platforms to DSA, ChatGPT first AI search engine

The European Commission on Monday classified ChatGPT as a search engine under the Digital Services Act, the first generative AI service in the DSA's strictest tier, while also designating Reddit and Roblox as very large online platforms.

"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," Henna Virkkunen, the Commission's executive vice president for Tech Sovereignty, Security and Democracy, said.

The three services reported at least 45 million average monthly users each in the EU. OpenAI disclosed ChatGPT's search function averaged about 159 million monthly active users in the bloc for the six months ending March 2026, while Reddit reported 57.2 million and Roblox roughly 48 million. The designations give the Commission investigative powers to assess each service's functionality and monitor compliance, with supervision shared with Ireland's Coimisiún na Meán for ChatGPT and Reddit and the Netherlands' Authority for Consumers and Markets for Roblox.

The services have four months — until the end of December 2026 — to comply with obligations including annual systemic risk assessments covering illegal content, protection of minors, effects on users' physical and mental well-being, fundamental rights, electoral processes and public security. Non-compliance can attract penalties of up to 6 percent of a company's global annual turnover — a figure that, for OpenAI and its rapidly growing revenue, could prove substantial.

The DSA, enacted in 2022, uses a tiered structure where obligations escalate with user numbers. Services exceeding 45 million monthly users — roughly one in 10 of the bloc's population — face stricter requirements than standard platforms, including establishing risk management systems, undergoing external audits, and providing data access to regulators and vetted researchers.

The designations bring the total number of platforms and search engines under the DSA's strictest tier to 28. The regulation has already produced around €870 million in fines, including a record €550 million penalty against AliExpress in July for failing to curb the sale of illegal and counterfeit goods, a €200 million fine against Temu in May for comparable failings, and a €120 million fine against X in December 2025 over content moderation and transparency shortcomings.

ChatGPT's Search Engine Classification Sets AI Precedent

The Commission described ChatGPT as a "hybrid service" that qualifies as an online search engine under the DSA because it can engage with and respond to users' prompts and queries, including by searching the web. The classification is the first time a generative AI system has been formally incorporated into the DSA framework.

Lena-Maria Boswald of German tech think tank Interface said the move could set a precedent and influence regulatory expectations for other large generative AI systems used in the EU. "OpenAI already has risk-management obligations under the AI Act, but the DSA could widen the scope," she said.

For the designated companies, establishing compliance infrastructure — including risk assessments, transparency reporting, and acceptance of independent audits — becomes a new management challenge. OpenAI, which operates ChatGPT, will need to systematically address the risk that AI-generated responses to user queries may contain illegal content or harmful information.

EU's €870M Fine Record Draws US Pushback

The expanded scrutiny comes as the EU has stepped up enforcement against major digital platforms, including several US-based companies, despite strong pushback from Washington. The Trump administration called DMA fines on Apple and Meta a "novel form of economic extortion" and has threatened retaliation against countries with digital rules targeting US tech firms — rhetoric that could sharpen now that three more American-owned services have been brought under direct Commission supervision.

The designation also provides an answer to how far platform regulation should extend as AI technology proliferates. The European Commission is separately developing AI regulation under the AI Act, and together with DSA designations, is strengthening its oversight framework for technology companies offering services within the bloc.

This article is for informational purposes only and does not constitute investment advice.