Did you read the article? X is alleging that media matters had to manipulate their platform in order for it to generate these ads next to the hateful accounts. According to their records, those ads only appeared one time, for the user account associated with Media Matters. This supports their theory that manipulation was required.
I guess we'll have to wait for the court case to find out who's right. But immediately assuming the X lawsuit has no merits just because you don't like Elon Musk is a bit disingenuous.