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Tech Giants Pay Up: How Trump's Social Media Battles Ended in Massive Settlements

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In a surprising turn of events, YouTube has agreed to pay $24.5 million to settle a lawsuit brought by former President Donald Trump over his account suspension following the January 6, 2021 Capitol attacks. This settlement is part of a larger trend of tech companies resolving legal disputes with Trump, including similar payouts from Meta and Twitter (now X).

The settlement breaks down with $22 million earmarked for the Trust for the National Mall and a White House ballroom construction, while the remaining $2.5 million will be distributed to other parties involved in the case, including writer Naomi Wolf and the American Conservative Union.

This legal resolution comes after Trump’s social media accounts were suspended across multiple platforms in the aftermath of the 2021 election, citing concerns about potential incitement of violence. The settlements suggest a complex landscape of digital free speech and corporate accountability.

Interestingly, the tech landscape has dramatically shifted since these initial suspensions. Both Alphabet CEO Sundar Pichai and Meta CEO Mark Zuckerberg were notably present during Trump’s second inauguration in January, signaling a potential recalibration of their relationship with the administration.

The YouTube settlement will barely impact Alphabet’s financial standing, given the company’s massive $3 trillion market value - which has actually increased by approximately 25% since Trump’s return to the White House. The settlement does not constitute an admission of liability, and YouTube has already restored Trump’s account since 2023.

This legal resolution highlights the ongoing tensions between social media platforms, political figures, and free speech in the digital age. As technology continues to play a crucial role in political communication, these settlements represent a significant moment in understanding the boundaries of online expression and corporate governance.

The case was set to be discussed in an October 6 court hearing with U.S. District Judge Yvonne Gonzalez-Rogers in Oakland, California, before this settlement was reached.

AUTHOR: pw

SOURCE: NBC Bay Area