Elon Musk's X Reaches Deal To Strike Twitch Out Of Ad-Regarded Lawsuit

JAKARTA- X, Elon Musk's social media platform, formerly known as Twitter, has reached an agreement to settle a lawsuit against Twitch. In the lawsuit, X accused Amazon's live streaming service of conspiring with a number of advertising companies and industry groups to boycott X, which led to a decline in the platform's advertising revenue.

In a court document filed on Monday 7 April, in Texas federal court, X stated that he had signed a "memorandum of understanding" to withdraw the lawsuit against Twitch, provided that the Amazon subsidiary met certain conditions before the end of this year. Details of these conditions are not disclosed.

X previously sued Twitch in November 2024, as part of a larger lawsuit against about a dozen companies accused of violating antitrust laws by withdrawing ads from platform X. To date, Twitch has not provided an official response to the lawsuit.

Amazon, Twitch, and X have yet to comment on this latest development.

This agreement is the second settlement X made with one of the defendants. Previously, X had withdrawn a lawsuit against consumer product giant Unilever in October 2024. In his statement at the time, Unilever said that X had "committed to meet our standard responsibilities to ensure the safety and performance of our brands on the platform."

X accused the World Federation of Advertisers and a number of its members of a conspiracy to withhold billions of dollars in advertising funds that were supposed to go to X. After Elon Musk acquired the platform in October 2022, advertising spending on X experienced a significant decline.

Many advertisers chose to step down for fear their brands would side by side with harmful content such as racist or disinformation speech, which in the previous management period would usually be removed.

A number of other defendants in the lawsuit, including koloman, Pinterest, and Colgate-Palmolive, have also not made official comments.