An Australian federal court has upheld a fine against Elon Musk’s X for failing to comply with child internet safety regulations, ending a three-year legal fight between the tech company and the Australian government.
Under Australian law, the internet regulator eSafety can fine companies that do not respond to demands for detailed information on how they are keeping children safe online.
The regulator approached what was then Twitter in February 2023, demanding the company explain how it was tackling the spread of child sexual abuse content.
The following month, Twitter was merged into Musk’s newly formed X Corp, which was eventually fined for incomplete responses to the commission’s repeated requests.
A federal court ruled in October 2024 that X was required to respond to the notice. On Thursday, the social media giant was ordered to pay a fine of AU$650,000, which is about US$464,900.
Federal Justice Michael Wheelahan said a penalty near the maximum is appropriate in the case of the company, which is a large corporation, so that it serves as a real warning and is not simply a cost of doing business.
The Australian government has been at the forefront of global efforts to control big tech companies. This includes world-first laws passed last year banning children under 16 from accessing social media platforms such as Instagram and TikTok.
Several other nations are now reportedly considering similar social media restrictions. Documents obtained by a news agency showed that Israel, the United Kingdom, Norway and New Zealand met with Australian officials after expressing interest in the ban.
The head of eSafety, Julie Inman Grant, said meaningful transparency is critical to holding technology companies accountable. She added that this is not only a key part of her office’s work as Australia’s online safety regulator, but it also provides the Australian public with important information about how these companies are tackling harmful content on their platforms.
