The lawsuit was filed in 2023, when Elon Musk, who is now seen as a confidant to President Trump, claimed that they tried to affect the social media platform’s advertising partnerships.
Media Matters published a report highlighting that ads on the platform were appearing alongside pro-Nazi and other offensive content. In response, several advertisers decided to temporarily suspend their campaigns on Musk’s X. Around the same time, Elon Musk also drew attention to a post which appeared to support antisemitic conspiracy theory.
The group was asked to provide documents of their budgets, communications with other watchdog organizations, and papers showing the effects of harmful content on advertisers. Another FTC demand was for Media Matters to offer all the documents exchanged between them and Musk’s X during the litigation.
X’s founder has also sued advertisers who abandoned his social media platform, arguing their boycotts violated antitrust laws, and specifically named the World Federation of Advertisers in the suit.
The investigation is part of a broader pattern of inquiries by the Trump administration into people and organizations that are key players in the political left’s network.
President Trump has taken steps against law firms representing Democrats and other opponents by issuing executive orders, instructing federal agencies to avoid contracting with these firms and to deny their employees access to federal buildings.
Even more so, he has called on the Justice Department to look into ActBlue, a digital fundraising platform commonly used by progressive groups and Democratic candidates.
The president of Media Matters implied that the investigation was intended to pressure his organization. In response, the group countersued Musk in California, claiming that he chose a favorable legal forum and that he aims to silence Media Matters’ speech.
“The Trump administration has been defined by naming right-wing media figures to key posts and abusing the power of the federal government to bully political opponents and silence critics. It’s clear that’s exactly what’s happening here, given Media Matters’ history of holding those same figures to account,” he stated on Thursday. “These threats won’t work; we remain steadfast to our mission.”