Musk Scores Win as FTC Probes Media Matters’ Boycott Coordination [WATCH]

The Federal Trade Commission (FTC) has issued a civil investigative demand to the nonprofit watchdog group Media Matters, seeking records related to its communications with other media monitoring organizations amid ongoing scrutiny over advertising boycotts against the social media platform X.

BREAKING: The Federal Trade Commission has reportedly launched an investigation into the far-left advocacy group ‘Media Matters For America’ for illegally colluding with advertisers to target and harm 𝕏.

— ALX 🇺🇸 (@alx) May 22, 2025

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According to documents reviewed by Reuters, the FTC’s request focuses on whether Media Matters coordinated with other entities to orchestrate ad pullbacks from X, which is owned by entrepreneur Elon Musk.

The investigation is examining whether the nonprofit’s activities may have impacted competition in the online advertising market.

ELON MUSK: “Media Matters is an evil propaganda machine — and they can go to Hell” pic.twitter.com/oBQk3xwBqq

— ALX 🇺🇸 (@alx) December 10, 2023

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The Global Alliance for Responsible Media (GARM), a project of the World Federation of Advertisers, is reportedly among the organizations named in the demand. Both Media Matters and GARM are currently being sued by X.

X filed a federal lawsuit in Texas last year, accusing the World Federation of Advertisers and several major brands of unlawfully colluding to pressure companies into removing their advertising from the platform.

The lawsuit claims that these coordinated efforts were designed to damage the platform financially after Musk’s acquisition in 2022.

The accused parties have denied the allegations and filed motions to dismiss the case.

The FTC’s civil investigative demand requires Media Matters to turn over all documents relating to its communications with organizations like GARM, as well as records connected to the ongoing lawsuit over advertiser boycotts.

The agency is also seeking information on documents Media Matters produced or received that are connected to legal proceedings involving X.

X has blamed Media Matters for defamation and alleged economic harm, citing a 2023 incident in which the nonprofit published claims that brand advertisements were being placed adjacent to extremist content on the platform.

X responded by filing a lawsuit against Media Matters, accusing the group of misrepresenting its advertising placement and damaging its reputation with corporate advertisers.

In turn, Media Matters filed its own legal action, alleging that X is using litigation to retaliate against journalists and advocacy groups.

“Media Matters has denied the allegations, and sued X, accusing it of abusive, costly and meritless lawsuits to punish the group for its reporting on advertising on X after Musk purchased the site,” the organization said in a statement.

Media Matters has claimed the ongoing legal battles have cost the nonprofit millions of dollars in legal fees and staff resources.

The FTC has not confirmed whether a formal investigation into Media Matters is underway.

However, agency Chairman Andrew Ferguson signaled the Commission’s interest in matters involving online platform competition and advertising pressure during remarks in December.

“We must prosecute any unlawful collusion between online platforms, and confront advertiser boycotts which threaten competition among those platforms,” Ferguson said at the time, referencing a separate case.

A civil investigative demand (CID) from the FTC is not equivalent to an accusation of wrongdoing.

It is a legal mechanism used to obtain information during the preliminary stages of an inquiry. A CID does not indicate that enforcement action is imminent or that laws have been broken.

Representatives for Media Matters and the FTC have not provided additional comment as of Friday.

Legal proceedings related to the lawsuits between X, Media Matters, and other entities are ongoing.

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