Elon Musk’s X, formerly known as Twitter, has challenged the constitutionality of a California state law establishing new transparency requirements for social media companies, including content moderation and hate speech, Guardian reported.

The company alleged that the law, known as Assembly Bill 587, violates its free speech rights under the US Constitution’s first amendment and California’s state constitution. “This violates the free speech rights granted to X Corp. under the First Amendment to the United States Constitution and Article I, Section 2, of the California Constitution,” X stated in its complaint.

The company went on to claim that the law is an attempt to pressure social media companies into eliminating content the state found objectionable.

“Through AB 587, the State is compelling social media companies to take public positions on controversial and politically charged issues,” X stated in its complaint.

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Under the law, social media companies are required to issue semiannual reports to provide details on their content moderation practices and data on the number of objectionable posts and how they were addressed.

The companies are also required to provide copies of their terms of service and a failure to comply risks fines of up to $15,000 for each violation a day.

It is pertinent to mention that the California governor signed the law last September, saying the state would not let social media be “weaponised” to spread hate and disinformation.

On September 5, Elon Musk threatened to sue the Anti-Defamation League for $22 billion for allegedly attempting to destroy X, by accusing him and the platform of being anti-Semitic.

The tech-billionaire said he planned to sue the ADL ‘to clear our platform’s name on the matter of anti-Semitism.’

In May, the app’s value had fallen to one-third of what it was when Musk purchased it in October - from $45 billion to $15 billion in six months.