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[BUSINESS] · United States · 12 sources

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Elon Musk's X and World Federation of Advertisers Settle Two-Year Legal Dispute

Elon Musk's social‑media platform X and the World Federation of Advertisers (WFA) have reached a settlement ending a two‑year antitrust lawsuit that alleged the advertising trade body coordinated a boycott against X through the Global Alliance for Responsible Media (GARM). Both parties issued a joint statement saying the agreement "resets" their relationship and reaffirms a shared commitment to freedom of speech.

The U.S. District Court in Texas dismissed X's claims on March 26, 2026, finding the platform had not shown the required antitrust injury. The settlement, announced on July 30, 2026, does not disclose any financial terms, but the WFA pledged it will not form or restart GARM or a similar initiative. Advertisers named in the original case included Mars, CVS Health, Colgate‑Palmolive, Shell, Lego and Nestlé, and X had alleged that they collectively withheld billions of dollars in advertising spend.

The resolution removes a major source of tension between X and the advertising industry, which had seen a sharp decline in ad revenue after Musk’s 2022 acquisition of Twitter. While the settlement does not restore the lost advertising dollars, it clears the way for both organizations to cooperate on future brand‑safety innovations.

Entities

Elon Musk · Global Alliance for Responsible Media (GARM) · Jane Boyle · World Federation of Advertisers · X (social media platform) · X Corp.

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