When "X" Marks the Spot Someone Else Wants

Here's a fascinating trademark twist: a small Virginia-based startup called Operation Bluebird is trying to grab the "Twitter" name now that Elon Musk's X Corp has essentially thrown it in the trash. The company filed a petition with the U.S. Patent and Trademark Office on December 2, seeking to nullify Twitter's trademarks and claim them for its own platform, "twitter.new."

The legal strategy is simple, almost elegant. Operation Bluebird argues that X Corp legally abandoned the Twitter trademark by removing the brand from its products, services, and marketing. If you stop using a trademark commercially, the thinking goes, you shouldn't get to keep it locked away in a drawer.

What makes this particularly interesting is who's leading the charge. Stephen Coates, Operation Bluebird's general counsel, previously worked as a trademark lawyer at Twitter itself. He knows exactly how these things work, and he's calling the case "straightforward." Musk acquired Twitter for $44 billion in 2022 and announced in 2023 that the company would gradually phase out the Twitter brand in favor of X. Mission accomplished, apparently.

The Aftermath of Musk's Twitter Adventure

Speaking of that $44 billion acquisition, X's valuation has been on quite a ride. After dropping significantly post-acquisition, a secondary deal recently pushed the platform's worth back to $44 billion as of March 2025. So at least on paper, Musk's investment has circled back to break-even territory.

The company also wrapped up a messy legal battle with former Twitter executives, including ex-CEO Parag Agrawal, settling a lawsuit over $128 million in unpaid severance from the 2022 takeover. Agrawal, for his part, has moved on to bigger things. His AI-powered search startup, Parallel, just locked down $100 million in Series A funding.

And the hits keep coming for X. The European Union slapped the platform with a $140 million fine on Friday for violating transparency rules under the Digital Services Act. The regulators took issue with misleading paid blue checkmarks and insufficient public access to advertising data.

Whether Operation Bluebird succeeds in claiming the Twitter name remains to be seen. X Corp hasn't commented on the petition yet. But it's a reminder that in trademark law, if you abandon something valuable, don't be surprised when someone else picks it up.