\n<\/p>\n
The coalition of advertisers described by X Corp. owner Elon Musk as a \u201ccabal\u201d has shut down after X hit it with a lawsuit earlier this week.<\/p>\n
The group, the Global Alliance for Responsible Media, or GARM, was formed in 2019 by the World Federation of Advertisers, or WFA, in an effort to encourage boycotts of social media platforms that were accused of not meeting various safety standards. When a group of major advertisers belonging to GARM did this with X, the company said it was a conspiracy and an \u201cillegal boycott\u201d that cost the platform \u201cbillions.\u201d<\/p>\n
This came after a congressional committee in July held a hearing on \u201ccollusion in the Global Alliance for Responsible Media,\u201d which targeted advertising companies for \u201canticompetitive collusion in online advertising.\u201d The committee believed that GARM had engaged in \u201cindirect tactics to target disfavored platforms.\u201d<\/p>\n
When the news about the lawsuit hit this week, experts weighed in, saying it was likely that GARM and the companies working under it would be protected by the First Amendment, but WFA Chief Executive Stephen Loerke said today that there weren\u2019t enough resources to fight the lawsuit, despite the decision to disband \u201cnot made lightly.\u201d<\/p>\n
\u201cNo small group should be able to monopolize what gets monetized,\u201d X CEO Linda Yaccarino said today. \u201cThis is an important acknowledgment and a necessary step in the right direction. I am hopeful that it means ecosystem-wide reform is coming.\u201d<\/p>\n
As for Musk (pictured), he has always had a tempestuous relationship with advertisers and also certain parts of the media. When asked in an interview<\/a> last year what he thought about advertisers pulling their ads from X because of fears the platform was allowing too much hate speech or misinformation to proliferate, Musk replied: \u201cIf somebody is going to try to blackmail me with advertising, blackmail me with money, go fuck yourself. Go fuck yourself. Is that clear? I hope it is.\u201d<\/p>\n He\u2019s certainly no darling of the media, but he has support from a number of politicians. After the news today about GARM, the X account<\/a> for Republicans on the House Judiciary Committee said, \u201cBig win for the First Amendment. Big win for oversight.\u201d<\/p>\nPhoto: U.K. government<\/a>\/Flickr<\/h5>\n