AGS NEWS – Elon Musk’s platform, X, has filed a lawsuit accusing a group of major advertisers of antitrust violations, alleging they conspired to boycott advertising on the platform.

The lawsuit claims the Global Alliance for Responsible Media (GARM), a prominent ad industry group, organized to withhold billions in advertising from X due to concerns about brand safety following Musk’s acquisition in late 2022.

GARM, a voluntary initiative under the World Federation of Advertisers, aims to prevent ads from appearing alongside illegal or harmful content.

The lawsuit names four companies—CVS, Unilever, Mars, and Ørsted—as defendants.

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This legal action is part of X’s efforts to revive its struggling ad business, which has declined since Musk took over.

Many brands have pulled ads, fearing their content might appear next to misinformation or hate speech. X CEO Linda Yaccarino emphasized the threat to the company’s future due to the alleged boycott.

A spokesperson for the World Federation of Advertisers declined to comment on the lawsuit. GARM states it does not influence members’ decisions on ad investments but encourages adherence to brand safety standards.

The lawsuit seeks to prevent GARM from making further advertising recommendations regarding X and requests unspecified monetary damages.

This is not X’s first lawsuit related to its ad business decline.

Last year, it sued the Center for Countering Digital Hate and Media Matters for reporting on hate speech and extremist content on the platform, which X claims hurt its ad revenue. Both cases involve allegations of misrepresenting the platform’s content environment.