X (Twitter) Sues Former Advertisers

Elon Musk's social media platform, X, has initiated a lawsuit against several advertisers and a trade group, claiming they engaged in an "illegal" boycott that has cost the company billions in advertising revenue. The lawsuit, filed in the U.S. District Court for the Northern District of Texas, accuses the World Federation of Advertisers and its Global Alliance for Responsible Media (GARM) of conspiring to withhold ad spending due to concerns over brand safety standards. Musk stated, "We tried peace for 2 years, now it is war," emphasizing the severity of the situation. The lawsuit seeks unspecified monetary damages and injunctive relief under U.S. antitrust laws, alleging that the advertisers' collective actions violate the Sherman Act by unreasonably restraining trade. Notable companies named in the suit include Unilever, Mars Inc., and CVS Health. The GARM, which was established to address harmful content in digital media, has denied any involvement in boycotts, asserting that its framework allows members to determine suitable content for their advertising. The lawsuit follows an investigation by the House of Representatives' Committee on the Judiciary, which raised concerns about GARM's practices potentially violating antitrust laws.

- Elon Musk's X has filed a lawsuit against advertisers for an alleged illegal boycott.

- The lawsuit claims the boycott has cost X billions in ad revenue.

- Major brands like Unilever and Mars Inc. are named as defendants.

- The lawsuit seeks monetary damages and injunctive relief under antitrust laws.

- The World Federation of Advertisers denies involvement in any boycott activities.