Elon Musk’s X Sues Global Ad Alliance Over Revenue Boycott Allegations

Elon Musk’s social media platform X has filed a lawsuit in a Texas federal court against several major companies and the World Federation of Advertisers. The lawsuit alleges an unlawful conspiracy to boycott the platform, causing significant revenue loss. X claims the advertisers withheld billions in ad revenue, violating U.S. antitrust law.

Elon Musk's social media platform, X, initiated legal action on Tuesday against a global advertising alliance and multiple major corporations, including Mars and CVS Health, alleging unlawful conspiracy to boycott the site leading to lost revenue. The lawsuit, filed in federal court in Texas, names the World Federation of Advertisers, Unilever, and Danish renewable energy company Orsted alongside Mars and CVS Health.

According to the lawsuit, advertisers collectively withheld "billions of dollars in advertising revenue" from X through a World Federation of Advertisers initiative called Global Alliance for Responsible Media. X argues this collective action contravenes U.S. antitrust law and runs counter to advertisers' economic self-interests.

The accused parties—World Federation of Advertisers, Unilever, Mars, and CVS Health—did not immediately comment, while Orsted declined to respond. X's chief executive Linda Yaccarino asserted that limiting the marketplace of ideas hurts people and that no small group should monopolize monetization.

(With inputs from agencies.)