X and WFA resolve long-standing legal dispute over advertising guidelines

Elon Musk’s X platform has reached a settlement with the World Federation of Advertisers (WFA), ending a multiyear legal battle. The dispute stemmed from X’s allegations that advertisers like Mars, CVS Health, Shell, and Lego engaged in a ‘systematic illegal boycott’ after Musk’s 2022 acquisition of Twitter. X sued the WFA in 2024, claiming advertisers reduced spending due to guidelines from the WFA’s Global Alliance for Responsible Media (GARM). However, a federal court dismissed the lawsuit in March, ruling X failed to prove harm under competition laws. The WFA and X issued a joint statement announcing the settlement, emphasizing alignment on brand safety innovation. The WFA reiterated its commitment to free speech and stated it will not restart GARM or similar initiatives. This resolution marks the end of a contentious legal chapter for Musk’s platform, which had previously faced criticism over content moderation policies affecting advertiser trust.