Advertisers abandon Elon Musk's X social network en masse: Engadget

The social network X has faced a massive exodus of advertisers concerned about the rise of toxic content on the platform and the policies of its owner, Elon Musk. Only 4% of marketers consider X a safe platform for brands. Musk denies issues related to the catastrophic decline in advertiser trust.

The advertising business on X is going through tough times, and it seems that the worst is yet to come. According to a new study by the marketing company Kantar, published by Advanced Television, 26% of marketers plan to cut their advertising spending on X next year. As reported by Engadget, advertiser trust in the platform has reached an all-time low. 

The Kantar study, based on a survey of 18,000 consumers and 1,000 marketers worldwide, highlights how much X’s advertising business has suffered since Musk’s acquisition. Over the past year and a half, many major advertisers have paused or reduced their spending on the platform due to concerns over the rise of hate speech and other toxic content. 

The situation has been aggravated by Musk’s own actions, as he openly clashes with advertisers. He told brands worried about hate speech to “go to hell” and accused advertisers of blackmail. Meanwhile, only 4% of marketers see X as a safe advertising platform, according to the study. Experts believe this low level of trust could have global implications for the platform's future, which heavily relies on advertising revenue. 

X did not respond to requests for comment. Previously, the company told the Financial Times that “advertisers know X now offers higher brand safety for ads, along with better performance metrics and analytics than ever before, while seeing unprecedented levels of platform usage.” 

Recently, X filed a lawsuit against an industry group and several global companies, accusing them of organizing an “illegal boycott” of the platform.