Six Flags Retires X2 Coaster Amid Brain Injury Lawsuits

Six Flags will retire X2 after brain injury lawsuits; McDonald's franchisees feel pressure on AI pricing; Twitch screens streamers with AI; Kroger copies Walmart's low-price strategy.

Wire notes

  • Six Flags Magic Mountain will permanently retire X2, closed since July 12 after two riders suffered brain injuries; three more lawsuits were filed last week.
  • McDonald's says its AI price recommendations are optional, but five franchisees told Reuters they feel pressure to comply, and CEO Chris Kempczinski cited "pricing non-compliance."
  • Twitch CEO Dan Clancy said the platform transcribes streams with AI to decide whether creators fit particular brands, without publicly detailing what triggers the system.
The Scoop: ‘The right thing to do’: Six Flags addresses shutdown of popular roller coaster
PhotoThe Scoop: ‘The right thing to do’: Six Flags addresses shutdown of popular roller coaster — BC Gov Photos / Openverse

Six Flags Magic Mountain will permanently close X2, one of its best-known roller coasters, amid lawsuits alleging riders suffered serious brain injuries.

The theme park announced Tuesday that it will retire the coaster, known for its 360-degree rotating seats and speeds of nearly 80 mph. The ride has been closed since July 12, after two women who rode it less than a week apart were hospitalized with brain injuries. Three additional lawsuits alleging traumatic brain injuries were filed last week, CNN reports.

"Ride safety is a cornerstone of our business, and when we see guest confidence affected, we take it seriously," Magic Mountain President Brian Oerding said in the announcement.

Six Flags did not concede that the ride itself was unsafe. Oerding said X2 had "consistently passed a multitude of safety tests." Still, he said closing it was "the right thing to do."

The decision highlights the gap between proving something is safe and convincing people it is safe. Six Flags could have kept pointing to X2's safety record as justification for keeping the ride open. After multiple serious allegations, the company acknowledged that reassurance alone would not restore public confidence.

When safety sits at the center of a controversy, lost confidence becomes a business problem and a reputational one. Six Flags coupled its message with decisive action in plain, concise language. The phrase "the right thing to do" signals guests come first. It neither admits the lawsuit allegations are true nor dismisses guests' concerns.

For communicators, the lesson is recognizing when data and facts fail to answer the question stakeholders are actually asking. Here, Six Flags reassures the public that it is taking responsibility and addressing the top-of-mind concern directly.

McDonald's franchisees push back on AI pricing

McDonald's is increasingly using AI to recommend prices based on local competition and what customers are willing to pay, Reuters reports. The company says the recommendations are optional and franchisees make the final call.

Five franchisees told Reuters they feel pressure to follow them. "You don't really have much of a choice anymore," said Karen King, a former franchisee.

CEO Chris Kempczinski referred to "pricing non-compliance" when discussing franchisee reviews this summer. He recently criticized restaurants that ignored the company's guidance on lower-priced menu items, saying their results were "a lot softer."

The gap between the corporate framing and franchisee experience creates a credibility problem. Reuters describes the dynamic as "risks (that are) alienating customers and attracting antitrust scrutiny." McDonald's now needs to clarify the policy and follow through on what it says.

Twitch uses AI to screen streamers for advertisers

Twitch is using AI to listen to livestreams and determine whether creators fit particular brands. CEO Dan Clancy said Twitch transcribes streams and uses AI to identify creators or content that "may not match a brand," NDTV reports. Advertisers tell Twitch what content they want their brands associated with, and the platform uses the transcripts as a layer of brand-safety screening.

"We transcribe streams to figure out 'Is this appropriate for this brand?'" Clancy said. He added that Twitch invested heavily in ensuring advertising appears alongside creators and content that fit brands' goals.

Some creators are pushing back. They question how accurately AI can understand context and whether they will know when the system flags their content. Twitch has not publicly detailed which words, topics or behaviors could trigger the system, NDTV reports.

The move shows AI becoming a behind-the-scenes reputation factor. Brands gain another layer of protection over ad placement, but creators want transparency about how those decisions get made. When AI judges brand pairings, companies need to explain what it is judging and what happens when the judgment is wrong.

Kroger borrows Walmart's playbook

Kroger is copying Walmart's strategy as it tries to win back shoppers hunting for lower grocery prices in a rough economy. CEO Greg Foran, who previously ran Walmart's U.S. business, is cutting costs and moving Kroger away from regular promotions toward consistent low prices, The Wall Street Journal reports. Kroger has lost market share as shoppers turn to Walmart and other discount competitors, the outlet says.

Kroger also stopped selling Red Bull nationwide after the energy drink company raised prices while reportedly offering a better deal to a rival grocer.

"We have to be relentless on cost," Foran said. "Every dollar we take out is a dollar we can reinvest in areas customers will see."

The shift aims to change what shoppers associate with the Kroger name: from a place where customers hunt for deals to one they trust for consistently low prices. It is a visible PR move, and Foran wants customers to see the difference on shelves, in stores and eventually in their grocery bills.

via sixflags.com (Original)

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Correspondent covering industry trends and analytics at Marketing Herald.

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