Elon Musk’s social media platform, X, has officially withdrawn Unilever from its lawsuit accusing the consumer goods giant and several others of conspiring to boycott the platform, leading to significant revenue losses.
In a filing made in federal court in Wichita Falls, Texas, X announced on Friday that it was dismissing its claims against Unilever, which is known for popular brands such as Dove, Hellmann’s, and Pepsodent. Unilever confirmed the development, stating that the two companies had “reached an agreement,” with X committing to uphold the standards necessary to ensure the safety and effectiveness of its brands on the platform. However, Unilever declined to disclose specific details regarding the terms of the settlement.
In its statement, X expressed satisfaction with the agreement, indicating that it looks forward to continuing its partnership with Unilever. While the company did not elaborate on the terms, it confirmed that it would persist in pursuing its antitrust claims against other defendants named in the lawsuit.
Originally, the lawsuit accused the World Federation of Advertisers, along with Unilever, candy manufacturer Mars, CVS Health, and Danish renewable energy firm Orsted, of colluding to withhold “billions of dollars in advertising revenue” from X, which was formerly known as Twitter.
As of now, the federation and the other defendants have not yet responded to the lawsuit in court and did not provide immediate comments on Friday regarding the latest developments.
Since Musk acquired X in October 2022, the platform has experienced a significant decline in advertising revenue, as many advertisers expressed concerns about their brands appearing alongside harmful or misleading content, which had been more effectively managed under previous leadership. The advertising group had initiated a campaign in 2019 aimed at addressing the challenges posed by illegal or harmful content on digital media platforms and its monetization through advertising.
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