In a recent turn of events, a significant organisation within the advertising industry, the Global Alliance for Responsible Media (GARM), has announced their decision to cease operations following a lawsuit from X, a social media platform overseen by Elon Musk. GARM, an eminent group of advertisers associated with the World Federation of Advertisers, communicated its intention of shutting down to its staff, following Musk’s allegations of them initiating a targeted ban against X.
The lawsuit highlighted GARM’s alleged infringement of antitrust laws through collaboration with brands in efforts to discourage investments in X. Despite the World Federation of Advertisers refuting claims of any unlawful conduct through GARM’s operations, the financial pressure that comes with battling X in court was cited as the key reason for the non-profit’s halt in operations.
News of GARM’s closure was received with joy in the corridors of X. Linda Yaccarino, X’s top executive, recognised it as a significant momentum shift towards the right direction, expressing hope for more extensive reforms in the days to come.
The root of the contention traces back to Musk’s notable acquisition of X, previously called Twitter, worth $44 billion (€40.1 billion) in 2022. Musk’s commitment to uninhibited speech and the nullification of numerous guidelines against harmful content and false information on the platform resulted in many brands withdrawing their advertisements from X out of fear of brand damage due to association with objectionable content.
Following Musk’s takeover, GARM urged advertisers to freeze their expenses, which led multinational companies like CVS and Unilever to halt their spending on X. Both companies were included in X’s legal action as well.
X’s ongoing legal battle against GARM reflects the company’s broader strategic push against attempts to regulate harmful online content. X’s series of lawsuits against entities such as GARM have imposed challenges for researchers studying online misinformation, extremism, and other malicious internet activity. Critics suggest that these lawsuits have inflamed a right-wing narrative of their research being part of a clandestine plot to silence free speech. This perception has disrupted academic research in the field with some projects ceasing activity completely. This report was initially published in The New York Times.
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