FTC investigating liberal watchdog group Media Matters
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The Federal Trade Commission is investigating the liberal group Media Matters over claims that it and other media advocacy groups coordinated advertising boycotts of Elon Musk's X, Media Matters president Angelo Carusone confirmed in a statement Thursday.
Why it matters: Musk and conservatives have been targeting advertising groups for months as part of a broader effort to determine whether the ad market at large is biased against them.
- X sued Media Matters for defamation in 2023 for a report it publicly released that showed ads on X running next to pro-Nazi content. X claimed the report contributed to an advertiser exodus.
- Last year, X filed a federal antitrust lawsuit against the World Federation of Advertisers, a major advertising trade group, and its industry coalition called the Global Alliance for Responsible Media.
- The lawsuit proved effective as WFA discontinued GARM a few months later.
What they're saying: "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," said Carusone.
- "It's clear that's exactly what's happening here, given Media Matters' history of holding those same figures to account. These threats won't work; we remain steadfast to our mission."
- The FTC did not respond to a request for comment.
Zoom out: The investigation, first reported by Reuters, signals an escalation of tensions between the advertising community and conservatives.
- Last year, The Daily Wire, a conservative media company, sent letters to major corporations asking them to "reject" GARM, arguing it colluded with agencies, brands and tech platforms "to demonetize conservative media outlets."
- The Daily Wire testified in a hearing about the matter last summer, after conservatives leading the House Judiciary Committee held a hearing about complaints GARM was colluding with ad-buying giant GroupM to discourage clients from buying ads in the Daily Wire because of its conservative politics.
What to watch: X Corp. has a mixed record when it comes to lawsuits against research and advocacy groups.
- A judge tossed its complaint against the Center for Countering Digital Hate nonprofit last year, claiming X was only targeting the group because it aimed to silence CCDH's research about rising hate speech on X.
- Media Matters countersued X in March. That litigation is ongoing.
