Choose to FTC: Investigation Into Nonprofit That Criticized X Is ‘A Retaliatory Act’


A federal choose has moved to dam a Federal Commerce Fee (FTC) investigation into media nonprofit Media Issues, following its high-profile authorized spat with Elon Musk’s X.

Choose Sparkle L. Sooknanan with the US District Court docket for DC says the case “presents an easy First Modification violation” and that the FTC’s calls for gave the impression to be a “retaliatory act.” That “ought to alarm all Individuals when the Authorities retaliates towards people or organizations for partaking in constitutionally protected public debate,” she says.

In Might, the FTC opened an investigation into whether or not Media Issues had illegally colluded with advertisers, demanding data like its budgets and its communications with different nonprofits. That got here after X sued Media Issues over November 2023 analysis that stated adverts from high-profile corporations have been showing subsequent to antisemitic posts and different offensive content material following Elon Musk’s acquisition of Twitter.

The Media Issues analysis adopted months of studies about advertisers fleeing the platform after Musk applied controversial modifications, together with chopping again on content material moderation and promoting entry to verified standing on the social community. (Musk’s message to these advertisers? “Go fuck your self.”)

Nonetheless, Musk and X argued that organizations like Media Issues and the advertisers themselves have been guilty slightly than the ill-advised modifications made to the platform. X additionally sued a nonprofit advert group representing 150 manufacturers and over 60 advertiser associations for not promoting with the corporate.

Andrew Ferguson, testifies during a House Committee on Appropriations - Subcommittee on Financial Services and General Government oversight hearing on the US Federal Trade Commission on Capitol Hill in Washington, DC, on May 15, 2025

FTC Chairman Andrew Ferguson (Picture by Drew Angerer / AFP by way of Getty Photographs))

In Friday’s ruling, Choose Sooknanan argues that the FTC case is politically motivated. The sweeping civil investigative demand (CID) issued to Media Issues by FTC Chairman Andrew Ferguson “ought to have come as no shock,” the choose says.

“Earlier than President Trump chosen him to go the FTC, Mr. Ferguson appeared on Steve Bannon’s podcast, the place he stated that it’s ‘actually necessary that the FTC take investigative steps within the new administration underneath President Trump’ as a result of ‘progressives’ and others who’re ‘combating “disinformation’ have been ‘not going to surrender simply due to the election,'” the choose says.



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Ferguson additionally “introduced on a number of senior staffers on the FTC who beforehand made public feedback about Media Issues,” she added.

Plus, previous to the FTC opening an investigation, the Republican attorneys normal of Missouri and Texas issued CIDs of their very own to Media Issues—”seemingly on the behest of Steven Miller, the present White Home Deputy Chief of Workers,” the choose says. These have been “preliminarily enjoined on this Court docket as possible being retaliatory in violation of the First Modification.”

Total, “Media Issues engaged in quintessential First Modification exercise when it revealed an internet article criticizing Mr. Muskand X,” the choose concludes. “And the Court docket finds that the FTC’s expansive CID is a retaliatory act. There could be little doubt that such a CID would deter a reporter of strange firmness from talking once more.”

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Angelo Carusone, Chairman and President of Media Issues, says the ruling “demonstrates the significance of combating over folding, which far too many are doing when confronted with intimidation from the Trump administration.

“This case is not only concerning the marketing campaign to punish and silence Media Issues, nevertheless. It’s a crucial take a look at for whether or not the courts will enable any administration—from any political occasion—to bully media and non-profit organizations by unlawful abuses of energy,” he added. “We are going to proceed to face up and struggle for the First Modification rights that shield each American.”

Musk additionally sued the Heart for Countering Digital Hate (CCDH) after it claimed Twitter did not crack down on racist, homophobic, and antisemitic tweets, although that was thrown out in March.

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Will McCurdy

I’m a reporter masking weekend information. Earlier than becoming a member of PCMag in 2024, I picked up bylines in BBC Information, The Guardian, The Instances of London, The Each day Beast, Vice, Slate, Quick Firm, The Night Customary, The i, TechRadar, and Decrypt Media.

I’ve been a PC gamer because you needed to set up video games from a number of CD-ROMs by hand. As a reporter, I’m passionate concerning the intersection of tech and human lives. I’ve coated all the things from crypto scandals to the artwork world, in addition to conspiracy theories, UK politics, and Russia and international affairs.


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