Elon's X has lost tons of advertisers. The platform's solution is to sue them

Elon Musk's social media platform, X, is suing a coalition of advertisers, claiming they violated antitrust laws by orchestrating a boycott that withheld billions in advertising revenue. The lawsuit targets the Global Alliance for Responsible Media (GARM) and its members, including CVS Health, Mars, Orsted, and Unilever. X's CEO, Linda Yaccarino, stated that the boycott undermines the platform's role as a "Global Town Square," depriving users of diverse viewpoints. The lawsuit, filed in Texas, alleges that GARM influenced major brands to stop advertising on X following Musk's acquisition in 2022, leading to a significant revenue drop of approximately 40%. Musk has publicly supported the lawsuit, suggesting that other companies facing similar boycotts should also consider legal action. The situation has escalated amid ongoing investigations by Republican lawmakers into GARM, with claims of anti-conservative bias. Critics have pointed to the rise of hate speech on the platform as a reason for the advertisers' departure. Despite Musk's attempts to regain advertisers, the future of X's advertising revenue remains uncertain.

- X is suing advertisers for alleged antitrust violations related to a boycott.

- The lawsuit claims the boycott aimed to withhold billions in ad revenue from the platform.

- X's CEO argues the boycott harms the diversity of viewpoints on the platform.

- Musk encourages other companies facing similar issues to pursue legal action.

- The situation is compounded by investigations into GARM by Republican lawmakers.