Elon Musk’s X, the old Twitter, suffered a major setback in a recent legal battle when attempting to block California state legislation that mandates social media businesses to provide their content moderation policies to the public.
Governor Gavin Newsom of California signed the legislation, which requires platforms to submit reports every two years on how they handle hate speech, disinformation, and offensive content. U.S. District Judge William Shubb denied X’s request to temporarily suspend the law, notwithstanding X’s claims that it violates the right to free speech.
In an eight-page opinion, the court ruled that the requirements for disclosure set forth by the law are “uncontroversial” and not “unjustified or unduly burdensome within the context of First Amendment law.”This decision holds immediate consequences for X, as it implies compliance with California’s content moderation regulations.
Elon Musk’s X has been under intense scrutiny, facing an exodus of advertisers and a decline in monthly U.S. ad revenue since Musk took over in October 2022. The court’s decision adds another layer of challenge for X, not only impacting its operations but also fueling the ongoing debate surrounding the responsibilities of technology companies in shaping digital discourse.
Additionally, the platform is facing regulatory scrutiny in Europe under the Digital Services Act (DSA), with an investigation initiated by the European Union regarding suspected breaches related to content about Hamas’s attacks on Israel.