New Delhi: The Global Alliance for Responsible Media (GARM) is ceasing operations following a lawsuit from Elon Musk’s social media platform X.
Founded in 2019 by the World Federation of Advertisers, major brands, and social media companies, GARM aimed to tackle harmful content. X's lawsuit, filed in Texas, accuses companies like CVS Health, Mars, and Unilever of orchestrating a “massive advertising boycott” to force X to adhere to safety standards. The World Federation of Advertisers is also named in the suit.
The lawsuit alleges that at least 18 brands ceased advertising on Twitter in late 2022, with more reducing ad spend in 2023.
Stephan Loerke, CEO of the World Federation of Advertisers, announced GARM’s immediate shutdown due to the legal challenge and resource limitations, while vowing to contest the allegations in court.
X CEO Linda Yaccarino welcomed the shutdown, suggesting it might lead to wider industry reforms. X will still engage with other ad-industry groups and major advertising firms that influence ad spending.