Elon Musk’s X Could Face $75 Million Loss By Year-End: Report
Elon Musk-owned social media company X could lose up to $75 million in advertising revenue by the end of the year as dozens of major brands halt marketing campaigns, the New York Times reported Friday.
Musk, who espoused an anti-Semitic message on the platform last week, has prompted several companies, including Walt Disney and Warner Bros. Discovery, to suspend their ads on the site formerly known as Twitter.
X has attacked and sued media watchdog group Media Matters, claiming the organization defamed the platform with a report that ads from major brands such as Apple and Oracle had appeared alongside messages promoting Adolf Hitler and the Nazi Party.
Internal documents seen by The New York Times this week show more than 200 advertising units from companies such as Airbnb, Amazon, Coca-Cola and Microsoft, many of which have stopped or are considering stopping advertising on the social network. said.
X said Friday that $11 million in revenue was at risk, with the exact number fluctuating as some advertisers returned to the platform and others increased spending, according to the report.
The company did not immediately respond to Reuters’ request for comment.
Advertisers have fled X since Musk bought it in October 2022 and reduced content moderation, leading to a sharp increase in hate speech on the site, according to civil rights groups.
Reuters previously reported that the platform’s US ad revenue has fallen at least 55 percent year-over-year in every month since Musk took over.
