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U.S. Senators Call for Investigation into Musk's Pressure on Advertisers

U.S. Senators Call for Investigation into Musk's Pressure on Advertisers

TraderKnowsTraderKnows
2025-03-07
Summary:U.S. Democratic senators urged the Justice Department to investigate if Elon Musk used his government role to pressure advertisers on X, citing possible ethics violations.

12.19  美国

Elon Musk, the American tech billionaire and owner of X (formerly Twitter), is once again embroiled in controversy over alleged abuse of government positions. According to multiple media reports, five Democratic Senators from the United States have written to Attorney General Pam Bondi, urging the Department of Justice to investigate whether Musk used his position in the Trump administration to pressure advertisers to return to advertising on the X platform.

Senators Accuse Musk of Pressuring Advertisers

The letter was co-signed by five senators, including Elizabeth Warren. They pointed out that, as Musk prepared to assume an "influential" new role in the Trump administration in 2024, X's management pressured advertisers who withdrew due to dissatisfaction with platform policies to return, threatening policy repercussions if they did not comply.

In the letter, the senators wrote: "If Musk is using his government position to protect those he does business with or to retaliate against companies that refuse to cooperate, he may have violated criminal ethics laws." They also emphasized that it is the responsibility of the Department of Justice to investigate this behavior and ensure that public officials do not abuse their power.

Lawyers from X Had Threatened Advertisers

According to previous media reports, Interpublic, one of the global top four advertising groups, received a call from X platform lawyers demanding they "make their clients invest more in advertising on X or face consequences." Notably, this threat occurred as Interpublic was about to merge with its competitor Omnicom Group for $13 billion, a deal subject to antitrust review by the Department of Justice.

The senators believe that Interpublic understood the implication of the call—that if their clients did not increase their advertising on X, Musk might use his influence in the Trump administration to delay or even block the merger. They also sent letters to Andrew Ferguson, Chairman of the Federal Trade Commission (FTC), and Omeed Assefi, Acting Assistant Attorney General of the Department of Justice's Antitrust Division, requesting an independent review of whether Musk influenced Interpublic's merger case.

Senators Demand Thorough Investigation of Musk's Conduct

The senators warned that X's management might be engaging in a "quid pro quo," asking Interpublic to bring more ad revenue to X in exchange for approval of their merger plan by the Trump administration. They emphasized: "Being the world's richest man does not place Musk above the law."

They further urged the Department of Justice to investigate whether Musk was using government positions to coerce advertisers or make decisions that could affect his economic interests and emphasized that if evidence shows a violation of federal ethics laws, the Department of Justice should take action.

Musk’s Government Role Sparks Concern

In addition to controlling X, Musk owns several companies, including Tesla and SpaceX, and has gained tremendous influence in technology and business in recent years. Although he does not hold an elected government position, he remains a special government employee as the head of the Department of Government Efficiency (DOGE). This role has caused concern among some politicians that Musk might use his power for personal gain or to retaliate against business rivals.

Currently, the Department of Justice has not responded to this matter, and the issue continues to attract attention from both the market and political circles.

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Risk Warning and Disclaimer

The market carries risks, and investment should be cautious. This article does not constitute personal investment advice and has not taken into account individual users' specific investment goals, financial situations, or needs. Users should consider whether any opinions, viewpoints, or conclusions in this article are suitable for their particular circumstances. Investing based on this is at one's own responsibility.

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2025-03-07

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