Welcome back to Tech Brief. Today, we’re looking at how Elon Musk’s threat to sue companies that don’t buy ads on X has actually paid off. A Wall Street Journal report reveals that Verizon, which hadn’t advertised on X since 2022, was warned it would face an “illegal boycott” lawsuit if it stayed away. So Verizon committed at least $10 million—and could spend up to $25 million—on ads this year. Fashion giant Ralph Lauren and at least four other firms also struck deals after receiving similar threats. Even Amazon’s AWS arm was pressed on overdue bills in exchange for ad spending. Legal experts say X’s case is weak, but it’s proven an effective pressure tactic. Not everyone caved—Lego and Pinterest were added to the lawsuit after rebuffing demands. Musk’s hardball approach, from “go fuck yourself” tweets to courtroom threats, seems to be driving ad revenue back up, though it still lags pre-Musk levels.
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