The UK's media regulator, Ofcom, has launched a formal investigation into Elon Musk's social media platform X, putting the company at risk of severe penalties including multi-million pound fines or even a de facto ban from operating in Britain.
What is Ofcom investigating X for?
The probe centres on potential breaches of the Online Safety Act (OSA). Ofcom is examining whether X failed to properly assess and mitigate risks of users encountering illegal content. Specific concerns include the platform's handling of intimate image abuse and child sexual abuse material, as well as its systems for protecting user privacy and shielding children from harm.
The investigation was prompted in part by incidents involving X's integrated AI tool, Grok, which was reportedly used to generate indecent images of women and children without their consent. Ofcom will scrutinise whether X took appropriate steps to prevent such content from being viewed and shared, and if it acted swiftly enough to take illegal material down.
The "Nuclear Option": Could X be banned in the UK?
Under the OSA, Ofcom possesses the power to seek a court order for "business disruption measures" against a non-compliant service. This could involve ordering internet service providers to block access to X, or compelling payment processors and advertisers to cut ties with the platform. Such actions would effectively constitute a ban on X operating within the UK.
However, Ofcom has stated this would be a last resort for "serious cases of ongoing non-compliance". The regulator emphasised that its process must be legally robust, acknowledging that a rushed ban could be challenged by X through a judicial review. The UK government has expressed support for Ofcom if it decides to pursue this ultimate sanction, but the regulator operates independently.
Fines and other enforcement powers
Short of a ban, Ofcom has significant other enforcement tools at its disposal. The regulator can impose substantial financial penalties of up to £18 million or 10% of a company's global annual revenue, whichever is higher. Based on advertising revenue estimates of $2.3bn for X last year, a fine could theoretically exceed $200 million.
Ofcom can also mandate that X takes specific actions to comply with the law and remedy any harms identified. The investigation will first determine if a breach occurred, issue a provisional decision, and allow X to respond before any final ruling is made.
Experts suggest the timeline for this high-stakes investigation could vary. While typical Ofcom probes take six to nine months, the regulator could opt for an expedited process given the public and political concern surrounding the AI-generated content scandal. Professor Lorna Woods, an internet law expert at the University of Essex, noted that business disruption measures could be implemented rapidly if Ofcom deems the breach serious enough and X fails to address it promptly.
