In the wake of an antitrust lawsuit filed by Elon Musk’s X, the Global Alliance for Responsible Media (GARM) has announced a suspension of its activities. The lawsuit, which was filed in Texas federal court, accuses GARM, the World Federation of Advertisers (WFA), and several of its member companies of orchestrating an illegal ad boycott targeting X, particularly aimed at suppressing conservative viewpoints on the platform.
The lawsuit specifically names industry giants CVS Health, Mars, Orsted, and Unilever, which collectively control an estimated 90% of global advertising efforts. These companies are accused of using their dominant market position to influence advertising decisions, effectively cutting off revenue streams for platforms like X that host conservative content.
This lawsuit follows revelations from a GOP congressional report that exposed GARM’s outsized influence in the advertising industry. Rep. Jim Jordan (R-OH) highlighted the findings, accusing GARM and the WFA of acting as a “marketing cartel” to silence right-wing media by leveraging their control over advertising dollars. Jordan argued that this manipulation of the advertising market poses a significant threat to free speech.
X CEO Linda Yaccarino weighed in on the lawsuit, stating that the case is crucial for protecting the integrity of the marketplace of ideas. “Illegal boycotts that suppress specific viewpoints harm our democracy,” Yaccarino said, emphasizing the need to rectify a system that allows such activities to continue unchecked.
In response to the lawsuit, the WFA confirmed on Thursday that it would suspend GARM’s operations, though it plans to continue fighting the lawsuit in court. The suspension marks a significant development in the ongoing battle between Musk and the advertising giants, but the legal proceedings are expected to continue as both sides prepare for a drawn-out conflict.
