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Attorney General files suit against Media Matters over alleged anti-X initiatives

Credit: Elon Musk/X

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Attorney General Andrew Bailey has filed a lawsuit against Media Matters of America in an attempt to force the nonprofit to turn over documents that are allegedly related to its efforts to bully advertisers out of social media X. Media Matters published a report last year claiming X was showing advertisements from major corporations alongside extremist content. 

X has defended itself against Media Matters’ claims, arguing that the nonprofit essentially manipulated the social media platform’s system by specifically following accounts only known to produce provocative content and accounts of the company’s big-time advertisers. X noted that Media Matters then reportedly scrolled and refreshed its feed an unnatural number of times until a screenshot could be taken showing paid posts from a major advertiser next to controversial content. 

In a press release, Missouri Attorney General Andrew Bailey noted that he launched an investigation into Media Matters’ practices after alleged evidence came to light suggesting that the nonprofit was soliciting “donations from Missourians under false pretenses to target X.” This, the Attorney General argued, was “in direct violation of the Missouri Merchandising Practices Act.” 

“My office has reason to believe Media Matters used fraud to solicit donations from Missourians in order to bully advertisers into pulling out of X, the last social media platform dedicated to free speech in America, so we launched an investigation to get to the bottom of it. However, Media Matters has a sordid history of refusing to cooperate with investigations. I’m not going to let this activist group stonewall us. If there has been any attempt to defraud Missourians in order to trample on their free speech rights, I will root it out and hold bad actors accountable,” Bailey wrote. 

X owner Elon Musk has praised the Missouri Attorney General Andrew Bailey‘s legal action.

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Following is a pertinent portion of the Missouri Attorney General’s press release. 

Media Matters came under fire after allegations surfaced that the organization deceitfully manipulated X’s algorithm to place advertisers’ content next to contrived controversial posts, causing X to suffer astronomical financial losses when affected advertisers pulled their money from the site. Media Matters has been outspoken in its attempts to defame X for its refusal to censor disfavored viewpoints.

General Bailey’s lawsuit details how, “Media Matters, a self-styled not-for-profit ‘progressive research and information center,’ envisions itself monitoring, analyzing, and correcting ‘conservative misinformation’ in the U.S. media. In fact, this description falls far short of reality for this political activist organization. Instead, rather than passively ‘monitoring,’ Media Matters has used fraud to solicit donations from Missourians in order to trick advertisers into removing their advertisements from X, formerly Twitter, one of the last platforms dedicated to free speech in America.”

The suit further notes, “Media Matters has pursued an activist agenda in its attempt to destroy X, because they cannot control it. And because they cannot control it, or the free speech platform it provides to Missourians to express their own viewpoints in the public square, the radical ‘progressives’ at Media Matters have resorted to fraud to, as Benjamin Franklin once said, mark X ‘for the odium of the public, as an enemy to the liberty of the press.’ Missourians will not be manipulated by ‘progressive’ activists masquerading as news outlets, and they will not be defrauded in the process.”

The suit asserts, “Based on serious allegations of false and deceptive behavior, the Attorney General’s Office has issued a Civil Investigative Demand (‘CID’), as authorized by Missouri Law, to Media Matters to investigate possible violations of the Missouri Merchandising Practices Act. Because Media Matters has refused such efforts in other states and made clear that it will refuse any such efforts, the Attorney General seeks an order from the Court, 2 pursuant to section 407.090, compelling Media Matters to comply with the CID within 20 days.”

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Media Matters has responded to the Missouri Attorney General’s legal action. In a comment, Media Matters President Angelo Carusone criticized Elon Musk, stating that the investigation is meritless and it is a way for the CEO to punish his critics. He also noted that the lawsuit is part of an attempt to curb free speech. 

“Far from the free speech advocate he claims to be, Elon Musk has actually intensified his efforts to undermine free speech by enlisting Republican attorneys general across the country to initiate meritless, expensive, and harassing investigations against Media Matters in an attempt to punish critics. This Missouri investigation is the latest in a transparent endeavor to squelch the First Amendment rights of researchers and reporters; it will have a chilling effect on news reporters,” Carusone noted. 

Following is the Missouri Attorney General’s Investigative Demand, as well as his lawsuit against Media Matters. 

Final CID to Media Matters by Simon Alvarez on Scribd

Final Media Matters Petition by Simon Alvarez

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Simon is an experienced automotive reporter with a passion for electric cars and clean energy. Fascinated by the world envisioned by Elon Musk, he hopes to make it to Mars (at least as a tourist) someday. For stories or tips--or even to just say a simple hello--send a message to his email, simon@teslarati.com or his handle on X, @ResidentSponge.

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SpaceX Starship just nailed something it’s never done before

SpaceX’s Starship flew successfully Friday, landing both stages and deploying its first Starlink V3 satellites.

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Starship’s thirteenth test flight delivered exactly what SpaceX needed with a clean liftoff, two successful stage recoveries, and the first real payload the vehicle has ever carried to space. Booster 20 and Ship 40 lifted off at 5:51 p.m. CT from Starbase, and by the time the mission wrapped roughly an hour later, both halves of the rocket had done exactly what they were supposed to do.

Booster 20 separated from Ship 40 a few minutes into the flight and stuck a controlled splashdown in the Gulf of Mexico about six minutes after liftoff. That is a meaningful turnaround from Flight 12 in May, when the booster lost several engines during its boostback burn before a hard water landing attempt.


Starship 40’s performance was arguably the bigger win. The vehicle deployed the first 20 operational Starlink V3 satellites Starship has ever carried, then flew a suborbital arc to a landing in the Indian Ocean that SpaceX commentator Dan Huot called the company’s softest splashdown yet. “This is a dream scenario for this team that’s trying to get this heat shield data,” Huot said on the live broadcast, according to Space.com’s live coverage. “I’m a little over the moon right now. Wow. Lucky number 13.”

Unlike the mass simulators SpaceX flew on Flight 12, these were production Starlink V3 satellites, meant to extend solar arrays and antennas and attempt to link with the broader constellation before reentering minutes later. Getting real hardware through a full deploy sequence on only the second flight of the V3 generation keeps Starship on schedule for the payload work NASA is counting on for future Artemis lunar landings.

— TESLARATI (@Teslarati) July 25, 2026

The flight also arrives at a moment when SpaceX needed a win. SPCX has traded below its $135 IPO price since mid-July, as Teslarati reported when the mission slipped to Friday, and short interest has climbed to roughly a third of the tradable float. A clean flight will not fix a balance sheet, but it does answer the one question SpaceX absolutely needed answered this week: whether the fixes made after the July 16 abort would hold up under real flight conditions. They did, on both stages, on the first try after the redesign.

SpaceX has not set a target date for Flight 14, though the company has said it wants to push toward an orbital attempt on the next mission. After Friday, that goal looks a lot more within reach.

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Tesla’s Supercharger Diner probably just secured more locations

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tesla diner
Credit: Tesla

Tesla’s Supercharger Diner in Los Angeles dominated the company’s global usage rankings after just one year, proving the concept is more than just a one-off novelty location that will fade away.

The performance could incite the company to build more locations, something that CEO Elon Musk has hinted at for some time.

Tesla’s Supercharger Diner delivered 21.2 GWh of energy in its first year of operation, the company’s head of Charging, Max de Zegher, revealed on X. Of the top 10 most utilized Supercharger locations in Tesla’s global infrastructure, the Diner in Los Angeles was the most used by drivers, and it wasn’t particularly close:

On its launch day one year ago, nobody was too sure what the Tesla Diner would be about. It seemed like an interesting concept, and considering it had been in the works for years, it was a highly anticipated launch that many were looking forward to.

Based on its success, we could see additional Diners with Superchargers built throughout the United States, and potentially beyond. Musk has said on several occasions that the company would be willing to bring the Diner idea to more markets.

Tesla makes major change at Supercharger Diner amid epic demand

Of the markets that Musk has mentioned, both Palo Alto and Austin have come to be perceived as ideal selections. However, there are no concrete plans as of now to build new Supercharger Diners anywhere; the location on Santa Monica Boulevard will remain the exclusive spot to pick up Tesla-inspired eats, at least for the time being.

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Investor's Corner

Tesla short sellers win big after shares fall after earnings

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A red Tesla Roadster driving around a turn
(Credit: Tesla)

Tesla short sellers won big following the company’s massive fall on Wall Street after it reported subpar Earnings on Wednesday.

Tesla short sellers collected about $4.12 billion in single-day profits on Thursday, according to BloombergShares fell as much as 15 percent during Thursday’s session. It closed as one of the worst days for Tesla on Wall Street in the past three years.

Investors sold off the stock after Tesla said it would aggressively direct its spending toward AI and its Optimus robot project. The company had record revenues, which were driven by one of the strongest quarters in terms of vehicle deliveries in company history.

However, it missed EPS estimates by reporting just $0.33, a far cry from the $0.53 analysts expected.

S3 Partners reported that about 3 percent of Tesla’s outstanding stock is sold short. Managing Director at S3, Ihor Dusaniwsky, provided the short seller’s potential profit, as well as another figure: shorts have likely had paper gains of $8.92 billion this year, as Tesla shares are down 30 percent in 2026.

Tesla (TSLA) Q2 2026 earnings results: miss on EPS, beat on revenue

Tesla has burned short sellers many times in the past, but the company’s latest Earnings Call was a chance for those skeptics to taste some payback. Although the company gave some very transparent information regarding future projects, the rollout of Robotaxi, Optimus, and Semi, many investors took their profits on Thursday.

Notable short sellers like Michael Burry have been transparent about their skepticism around Tesla shares. Burry just revealed three weeks ago that he had opened up a new short on the stock, stating he shorted Tesla shares at $416.22. “Happy it jumped back to this level,” he said in a blog post.

At the time of publication, Tesla shares were down about 3 percent and the stock was trading at $309.92.

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