Musk and X have faced other lawsuits over non-payment to vendors and over failure to provide severance as promised to laid-off employees from Twitter.

Linda Yaccarino, whom Elon Musk hired to run X in 2023, grappled with the challenges the company faced after Mr. Musk took over.

Yaccarino announced Wednesday she’s stepping down, and it’s not clear if the platform’s owner, Elon Musk, plans to announce a successor.

"I'm incredibly proud of the X team - the historic business turn around," Linda Yaccarino wrote on X.

Linda Yaccarino is stepping down as X’s CEO — and leaving the platform once known as Twitter in a worse place than when she started. A day after X users circulated viral screenshots of the company’s Grok chatbot denigrating Jews and declaring itself “MechaHitler,