X Names Lego, Shell in Expanded Ad Boycott Suit
Lego, Shell, and Nestlé are among seven major companies now facing antitrust accusations from X, as Elon Musk’s social media platform escalates its fight against what it calls an orchestrated advertising exodus.
The platform estimates losses in the billions from the coordinated pullback that started after Musk’s $44 billion takeover in 2022, according to documents filed Saturday in a Texas federal court.
Musk, who once called himself a “free speech absolutist,” somehow believes that 1) the losses were the advertisers’ fault, and 2) the advertisers can’t not choose his platform to run their ads. The so-called exodus started after a Media Matters study found the platform was showing posts promoting Hitler and the Nazi Party.
X alleges the World Federation of Advertisers mobilized its members through its brand safety program to pressure the platform, with at least 18 companies halting or slashing their advertising spending. It argues such group actions by advertisers with significant market power could stifle platform innovation and limit consumer choice.
“This isn’t about individual company choices — it’s about coordinated action that bypasses market forces,” said a person familiar with the case, who requested anonymity because they weren’t authorized to speak publicly.
It was also not so long ago that Musk told advertisers to go f*ck themselves.
Pinterest, Abbott Laboratories, Colgate-Palmolive, and Tyson Foods have also been added to the expanded lawsuit.
The WFA, meanwhile, has long dismantled its Global Alliance for Responsible Media program, i.e. the nonprofit coalition dedicated to enhancing digital media safety — saying that Musk’s antitrust lawsuit has drained the coalition’s resources.
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