X is appealing a district court's decision that dismissed its antitrust lawsuit against advertisers, asking the 5th Circuit to reconsider.

X claims advertisers colluded in a "group boycott" orchestrated by the Global Alliance for Responsible Media (GARM), an initiative by the World Federation of Advertisers. X argues this suppressed competition and distorted markets.

X's revenue has significantly declined since Elon Musk's acquisition in October 2022. While specific figures were private, recent filings show a drop in advertising revenue for X Corp., a subsidiary of Space X. In Q2 2026, ad revenue was $367 million, down from $426 million in Q2 2025. For the first six months of 2026, ad revenue was $710 million, compared to $870 million in the first half of 2025. This represents a substantial decrease from Twitter's Q2 2022 ad revenue of $1.08 billion.