Elon Musk's X has filed a lawsuit against Media Matters, alleging the left-leaning nonprofit is legally liable for the social media platform's loss in advertising revenue.
The lawsuit, which was filed yesterday in the U.S. District Court for the Northern District of Texas, alleges that the media watchdog group "knowingly and maliciously manufactured" images depicting that advertisers on X were having its ads placed next to Neo-Nazi and white-nationalist content on X/Twitter.
"Media Matters did not find pairings that X passively allowed on the platform," the legal complaint states. "Media Matters created these pairings in secrecy, to manufacture the harmful perception that X is at best an incompetent content moderator, or even worse that X was somehow indifferent or even encouraging to Nazi and racist ideology."
The complaint is referring to a report Media Matters published last week that ads from giant companies, including Apple, IBM, and Oracle, were placed "next to content that touts Adolf Hitler and his Nazi Party." Following the initial report and after X Corp. owner Elon Musk endorsed an antisemitic conspiracy theory, Apple and IBM both announced it paused advertisements on X.
"Not a single authentic user on X saw IBM's, Comcast's, or Oracle's ads next to the content in Media Matters' article," X CEO Linda Yaccarino wrote in a recent post. "Only 2 users saw Apple's ad next to the content, at least one of which was Media Matters. Data wins over manipulation or allegations. Don't be manipulated. Stand with X."
If you know me, you know I'm committed to truth and fairness. Here's the truth. Not a single authentic user on X saw IBM’s, Comcast’s, or Oracle’s ads next to the content in Media Matters’ article. Only 2 users saw Apple’s ad next to the content, at least one of which was Media…
— Linda Yaccarino (@lindayaX) November 20, 2023
"This is a frivolous lawsuit meant to bully X's critics into silence," Media Matters President and CEO Angelo Carusone wrote on X. "Media Matters stands behind its reporting and look forward to winning in court."
This is a frivolous lawsuit meant to bully X’s critics into silence. Media Matters stands behind its reporting and look forward to winning in court.
— Angelo Carusone (@GoAngelo) November 21, 2023
Onward!
Additionally, Texas Attorney General Ken Paxton announced that the Lone Star state was opening an investigation into Media Matters "for potential fraudulent activity." Musk posted a screenshot of the press release on X, along with a caption, "Fraud has both civil and criminal penalties."
Fraud has both civil & criminal penalties pic.twitter.com/BdC5Zfr1XM
— Elon Musk (@elonmusk) November 21, 2023
Since Musk acquired the social media platform, reports have surfaced that hate speech has increased. Aside from reinstating banned accounts, the company's moderation platform has been the subject of controversy.
A recent report from the research nonprofit group Center for Countering Digital Hate (CCDH) suggested that X is failing to remove posts that violate its own community rules for misinformation, antisemitism, Islamophobia, and other hate speech. Musk filed a lawsuit earlier this year against the CCDH, claiming that it "embarked on a scare campaign" to drive away advertisers from X.
Taylor is a Reporter at IGN. You can follow her on Twitter @TayNixster.
