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X and Advertiser Trade Body Settle GARM Lawsuit

The agreement ends the public legal fight with terms kept private and aims to reset relations between the platform and advertisers.

Overview

  • X Corp and the World Federation of Advertisers announced a settlement that resolves their multiyear dispute over the Global Alliance for Responsible Media.
  • The settlement, announced on Wednesday, follows a March federal ruling that dismissed X’s antitrust claims for failing to show harm to competition.
  • Neither side disclosed financial or contractual terms, so any commercial remedies or payments remain private and unclear to the public.
  • The WFA confirmed it permanently discontinued GARM in August 2024 and said it will not restart a similar initiative, removing the industry framework at the center of X’s claims.
  • The end of public litigation could ease tensions that drove many brands to sharply cut ad spending on X after Elon Musk’s 2022 takeover, though rebuilding advertiser confidence will depend on undisclosed deal terms and X’s business changes.