Social media platform X (formerly Twitter) faces a potential loss of up to $75 million in advertising revenue by the end of the year due to major brands pausing their campaigns after owner Elon Musk endorsed an antisemitic conspiracy theory, The New York Times reports.
Internal documents reveal concerns beyond the companies like IBM, Apple, and Disney that already paused ads, with over 200 companies, including Airbnb, Amazon, Coca-Cola, and Microsoft, considering pausing or halting ads on the platform.
X stated that $11 million in revenue was at risk and that the exact figure fluctuates due to multiple factors. The company claims that the documents viewed were either outdated or an evaluation exercise on total risk.
Musk’s controversial behavior has led to a decline in US advertising on the platform, down nearly 60% in 2023. The advertising freezes coincide with X’s crucial Q4, traditionally its strongest quarter as brands run holiday promotions.
