New Delhi: In a surprising turn of events, the Global Alliance for Responsible Media (GARM), a prominent organization dedicated to combating harmful content on social media platforms, has announced its closure. The decision follows a legal dispute initiated by Elon Musk’s X, formerly known as Twitter.
Founded in 2019 by a diverse coalition comprising major brands, social media companies, and the World Federation of Advertisers, GARM emerged as a leading force in developing industry standards to address critical issues such as hate speech, misinformation, and brand safety. The organization’s collaborative efforts and commitment to fostering a safer online environment earned it widespread recognition and support.
However, GARM’s trajectory was abruptly altered by a lawsuit filed by X in Texas. The social media platform accused several high-profile companies, including CVS Health, Mars, and Unilever, of orchestrating a concerted advertising boycott to compel X to adopt more stringent content moderation policies. The World Federation of Advertisers was also implicated in the lawsuit.
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According to X’s allegations, at least 18 major brands ceased their advertising on the platform in late 2022, with numerous others significantly curtailing their ad spending in 2023. These actions, X contends, were coordinated to exert undue influence over the platform’s content policies.
Faced with mounting legal challenges and dwindling resources, Stephan Loerke, CEO of the World Federation of Advertisers, made the difficult decision to dissolve GARM. While acknowledging the setback, Loerke emphasized the federation’s unwavering commitment to defending its position in court and contesting the allegations leveled against it.
Linda Yaccarino, CEO of X, expressed satisfaction with the closure of GARM, suggesting that it could serve as a catalyst for broader industry reforms. However, she clarified that X remains open to collaboration with other advertising industry groups and key players to foster a healthy advertising ecosystem.
The shutdown of GARM marks a significant turning point in the ongoing power struggle between social media platforms and advertisers over content moderation and brand safety. The outcome of the lawsuit is expected to have far-reaching implications for the industry as a whole.