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11 COMMERCIAL 11.11.2021 These articles are part of a content series called Ewropej. This is a multi-newsroom initiative part-funded by the European Parliament to bring the work of the EP closer to the citizens of Malta and keep them informed about matters that affect their daily lives. These articles reflect only the authors' view. The European Parliament is not responsible for any use that may be made of the information it contains. NEW European rules for big tech com- panies could become an international "game-changer for the online world", Facebook whistleblower Frances Hau- gen told MEPs on Monday. In her opening statement, she point- ed out that Facebook has become a $1 trillion company at the expense of citizens' safety, arguing that "a safer, more enjoyable social media is possi- ble". The Facebook ex-product manager, last month, leaked a trove of inter- nal documents, known as the 'Face- book Papers,' which comprise a mix of strategy memos and research studies. These include, for example, reports on the compulsive use of social media or the impact of Instagram on teenage girls' mental health. During her intervention in the Eu- ropean Parliament, Haugen said she came forward when she realised that "almost no one outside Facebook knows what is happening inside Face- book". "Facebook repeatedly encountered conflicts between its own profits and our safety, and Facebook consistently resolve these conflicts in favour of its own profits," she said, claiming that Mark Zuckerberg's company was proven to be harmful for children and for democracy. The hearing with EU lawmakers came at a timely moment, with the EU Parliament and member states finalis- ing their position to enter into nego- tiations over two landmark pieces of digital policy. The proposals for content moder- ation under the Digital Services Act (DSA), together with the provisions for so-called 'gatekeepers' of the Dig- ital Markets Act, are seen as the Eu- ropean Commission's most ambitious bid to increase regulatory oversight over big online firms like Facebook. But since some MEPs consider that the DSA proposal does not go far enough, many hope Haugen's insights can feed into the ongoing committee work and trigger stricter rules. Haugan's revelations confirmed that "self regulation by the compa- nies themselves is completely failing," Spanish socialist MEP Juan Fernando Lopez warned. No exceptions The DSA can become a "global gold standard" and inspire other coun- tries to address the systemic risks and harms of big tech business models, but new rules should not only address illegal content but also algorithms, the Facebook whistleblower also said. For Haugan, Facebook's feed rec- ommendation system was proven to "amplify division, extremism and po- larisation". "They have known for years that po- litical parties in Europe were running more extreme ideas, at least in social media, because that's the only thing that gets distributed [or viral]," she told MEPs, denouncing Facebook's ability to hide from the public the ac- tual behaviour of the platform. She also pointed out that potential exceptions could water down the ef- fect of EU legislation. While welcoming the strong em- phasis of the bill on data-sharing and open access to independent research- ers, the whistleblower warned MEPs that big tech companies would lever- age exceptions for data access related to trade secrets, if the derogations were approved. She also called for a 'content-neutral' approach, urging MEPs to reject any type of media exceptions under con- tent-moderation rules. A group of media experts and fact-checkers recently took a similar position, arguing that disinformation and fake news were usually presented as credible journalism on social me- dia. 'Wild West' After meeting earlier on Monday with Haugen, the EU commission- er for the internal market, Thierry Breton, said in an emailed statement: "Europe is serious about regulating what still resembles a digital Wild West". "The increased lobbying efforts, we have witnessed are in vain," he also said, calling on co-legislators to adopt the new rules in the first half of 2022. Tech companies like Facebook have scaled up their lobbying efforts in Brussels, since the upcoming rules could reshape their business models, which are based on displaying per- sonalised advertising thanks to users' data. Google, Facebook, and Microsoft dominate lobbying efforts in EU dig- ital economy policies, with an annual budget of over €5m each. Facebook's annual advertising reve- nue in EU markets was estimated to be worth over €23bn. But Haugan is not the only one who wants meaningful reform. A new survey revealed on Monday that 76 percent of people in Ger- many, France, Spain and Italy were concerned about the risks that dis- information or hate speech can pose to society, with the vast majority (83 percent) arguing that Europe should better regulate online services. Facebook whistleblower: EU rules can be 'game-changer' Facebook whistleblower Frances Haugen said the company's feed recommendation system has been proven to 'amplify division, extremism and polarisation'

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