The European Union's Digital Markets Act won't apply to Elon Musk's X the Commission decided Wednesday, despite the social media platform hitting usage thresholds earlier this year.

The move means X will not be subject to the DMA's list of operational 'dos and don'ts' — in areas including its use of third-party data and user consent to tracking adverts — for the foreseeable future. The pan-EU regime focuses on Big Tech with upfront rules that are generally designed to ensure fairer dealing with individual and business users-so far, seven companies have been designated as DMA gatekeepers for a total of two dozen "core platform services", among them other social media giants like Meta and TikTok.

While not joining the DMA gatekeeper club may be good news for Musk, in avoiding regulatory risk from being covered by the bloc's flagship market contestability regime (infractions can attract fines of up to 10% global annual turnover, and more for repeated offenses), the real sting to his ego is that X is not an important gateway for companies to reach consumers.

Think of it as the EU throwing shade on the bottom-feeding caliber of X's ad business these days. Or, in shorter form, if most of your ads are for drop-shipping companies peddling dubious-looking earwax cleaners or polyester rugs so violently patterned they could make a sofa-sitter seasick, your business is irrelevance.

Still, X will no doubt be relieved of any threat from DMA. The company had already argued that it need not be qualified when it told the EU in May that it passed both the 45 million monthly active users and 10,000 business users hurdles. We have contacted X's press line for comment.

After conducting close examination of all arguments, including input by relevant stakeholders, and after consultation with the Digital Markets Advisory Committee, the Commission concluded that X does indeed not qualify as a gatekeeper in relation to its online social networking service, since the investigation showed that X is not an important gateway for business users to access end-users," the Commission said in a press release.

The EU added that it will continue to monitor developments on X's market position. In the case of substantial changes in market power it could re-visit the designation issue. But with Musk in charge and continuing to alienate mainstream users, advertisers and businesses that seems unlikely.

Even though the EU's DMA isn't coming after Musk's X anytime soon, the company has its fair share of regional compliance issues on its plate -- including under the bloc's Digital Services Act (DSA), a sister regulation to the DMA.

Under the DSA, X will have to comply with general governance requirements and extra layers of requirements in areas like algorithmic transparency and accountability, which are reserved for bigger platforms.

The Commission, which enforces these extra DSA rules on major platforms, already suspects X of a raft of DSA breaches and has several ongoing investigations that could lead to penalties of up to 6% of its global annual turnover if confirmed. So Musk's penchant for insulting public officials could still come back to haunt him in the EU.