The Global Alliance for Responsible Media or GARM has reportedly announced a suspension of its operations after an antitrust lawsuit was filed by Elon Musk’s social media company, X, formerly Twitter.
What Happened: On Thursday, the World Federation of Advertisers, or WFA informed its members about the discontinuation of GARM’s activities, reported Business Insider, citing an internal email.
WFA’s CEO, Stephan Loerke, wrote to members via email that the decision was “not made lightly,” considering GARM’s status as a not-for-profit organization with limited resources.
Subscribe to the Benzinga Tech Trends newsletter to get all the latest tech developments delivered to your inbox.
Loerke also mentioned that both WFA and GARM intend to challenge X’s allegations in court, expressing confidence that the outcome of the case “will demonstrate our full adherence to competition rules in all our activities.”
Why It Matters: Earlier this week, Rumble Inc. RUM also joined X in filing antitrust lawsuits alleging a conspiracy to withhold advertising revenue.
The U.S. District Court for the Northern District of Texas received the filing, which named the World Federation of Advertisers, advertising agency WPP, and its subsidiary GroupM Worldwide as defendants.
Rumble’s official account shared on X, “Rumble has joined X to sue a cartel of advertisers and ad agencies who conspired to block ad revenue from going to certain platforms and content creators.”
Check out more of Benzinga’s Consumer Tech coverage by following this link.
Read Next:
Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.
