Musk sues group of advertisers

Elon Musk's social media platform X has sued a group of advertisers and some major companies for illegally boycotting the platform and causing revenue loss. X CEO Linda Yaccarino shared an open letter to advertisers on her social media account. In the letter, Yaccarino announced that X has filed an antitrust lawsuit against the Global Alliance for Responsible Media (GARM), the World Federation of Advertisers (WFA), and GARM members CVS Health, Mars, Orsted, and Unilever. Stating that she read the report titled "GARM's Damage" by the US House of Representatives Judiciary Committee last month, Yaccarino said that the report found evidence of illegal boycotts against many companies, including X. Yaccarino stated that the illegal actions of these organizations and their executives cost X billions of dollars. On the other hand, the lawsuit filed in federal court in Texas alleged that the organizations in question “conspired to collectively withhold” billions of dollars in advertising revenue from the platform, previously known as Twitter. The boycott was initiated The lawsuit stated that the boycott in question started in November 2022 after Musk purchased Twitter, and that the boycott was initiated due to concerns that Twitter’s content and safety standards would be changed. X’s complaint assessed that, “Collective action among competing advertisers shortens the competitive process for the purpose of determining brand safety standards to be applied by social media platforms and allows the collective opinions of a group of advertisers with market power to prevail over the interests of consumers.” After Elon Musk purchased Twitter in 2022, the platform experienced a decrease in advertising revenues.