The Global Alliance for Responsible Media (GARM) has temporarily suspended its activities following an antitrust lawsuit filed by Elon Musk’s X. The lawsuit, which was lodged in a Texas federal court on Tuesday, alleges that GARM, its parent organization the World Federation of Advertisers (WFA), and several member companies orchestrated an illegal ad boycott against X, targeting conservative voices on the platform.
The lawsuit also names major corporations such as CVS Health, Mars, Orsted, and Unilever, which are accused of using their significant market power to influence the global advertising landscape. According to the lawsuit, these companies collectively control 90% of global marketing efforts, giving them substantial leverage over advertising decisions.
This legal action follows a GOP congressional report that exposed GARM’s monopolistic practices. Rep. Jim Jordan (R-OH) highlighted the findings, accusing GARM and the WFA of using their market dominance to suppress conservative media by cutting off their revenue streams. The report described GARM’s influence as a “marketing cartel” that undermines free speech.
Linda Yaccarino, CEO of X, responded to the lawsuit by stressing the broader implications of the case. “Illegal boycotts that prevent certain viewpoints from being funded hurt the marketplace of ideas,” Yaccarino said. She added that the lawsuit seeks to correct a system that allows such practices to undermine free and open discourse.
On Thursday, the WFA announced that it would discontinue GARM’s activities temporarily, though it plans to continue contesting the lawsuit in court. The organization stated that the suspension is a temporary measure while it reassesses its position in light of the ongoing legal challenges.
The suspension of GARM’s operations is a significant development in Musk’s battle against what he describes as a coordinated effort to stifle conservative voices. However, the legal fight is set to continue, with both sides preparing for a prolonged court battle. This case has reignited debate over the power of advertising monopolies and their role in shaping public discourse.