Media Matters Sues FTC, Claims Probe Over X Advertiser Boycott Is Politically Motivated

Media Matters has filed suit against the Federal Trade Commission, alleging the agency’s recent investigation into its activities is politically motivated and intended to suppress its reporting on X.

The group is asking a federal court in Washington, DC, to halt what it describes as an unlawful inquiry driven by pressure from Musk, Republican attorneys general, and allies of former President Donald Trump.

We obtained a copy of the complaint for you here.

What’s key is the FTC’s effort to determine whether Media Matters coordinated with other advocacy organizations in a campaign that led advertisers to withdraw from X.

Media Matters published research in 2023 highlighting that corporate ads were appearing beside antisemitic and neo-Nazi content on the platform.

That report sparked significant advertiser exits and drew direct retaliation from Musk, who promised legal action and later filed multiple lawsuits against the group, alleging that the advertiser boycott was caused by baseless lies about the platform.

Media Matters claims the FTC’s demands for internal communications and documents related to its interactions with other groups go beyond the bounds of legitimate oversight.

In its complaint, the organization accuses the agency of chilling its speech and disrupting its operations. “The Court should put an end to the latest effort by the Trump Administration and Elon Musk’s government allies to punish, intimidate, and harass Media Matters for publishing reporting they do not like,” the lawsuit states.

The FTC, which has not commented on the suit, began its investigation after reports that a coordinated effort might have driven the advertiser pullout.

While Media Matters frames its actions as journalism and watchdog work, its campaign did aim to pressure companies into distancing themselves from X due to the platform’s handling of harmful content.

That raises broader questions the FTC appears to be probing: whether groups that advocate for advertiser boycotts cross into antitrust territory when they act in concert.

Chairman Andrew Ferguson, appointed during Trump’s presidency, has described advertiser boycotts as a form of censorship capable of undermining venues for free expression online.

The FTC is also examining several other advocacy organizations in its probe. Media Matters, for its part, insists there’s no evidence of coordination behind the advertiser withdrawals, and that the FTC’s inquiry is focused not on secret collusion but on its public research.

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