SEO

X’s key advertisers aren’t pausing campaigns – they’re walking away

X’s major advertisers have not posted on the platform in almost two weeks.

Reports initially suggested that companies like Disney, Paramount, Lionsgate, Sony Pictures, and Universal had temporarily paused campaigns.

However, key brands have actually ceased advertising altogether after Elon Musk endorsed an antisemitic conspiracy theory – which he has since refused to apologize for.

Industry insiders told CNN that the companies have stopped posting on official handles due to concerns around brand safety.

Why we care. Powerful companies distancing themselves from X sends a clear message about its current state as an advertising platform and the potential risks of reputational damage through brand association.

Financial impact. X is potentially facing a loss of up to $75 million in ad revenue by the end of 2023, according to the New York Times.

Blackout. Not only are corporate companies halting their posts on X, but prominent accounts like @StarWars and @MarvelStudios, each with millions of followers and prior daily posts, have also ceased posting on the platform. Notably, they are now increasing their activity on rival platforms like Threads.

What this means. Since Elon Musk took over last year, ad revenue has seen a significant decline. Now, with high-profile accounts also stopping their posts, the lack of content may pose a challenge for X’s CEO, Linda Yaccarino, in attracting advertisers back to the platform.

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Uncertain future. While there’s a chance that major advertisers might return to X in the future, there’s also the possibility that they won’t. If X fails to resolve its ad revenue issue, this could have dire consequences for the platform’s future

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About the author

Nicola Agius

Nicola Agius is Paid Media Editor of Search Engine Land after joining in 2023. She covers paid search, paid social, retail media and more. Prior to this, she was SEO Director at Jungle Creations (2020-2023), overseeing the company’s editorial strategy for multiple websites. She has over 15 years of experience in journalism and has previously worked at OK! Magazine (2010-2014), Mail Online (2014-2015), Mirror (2015-2017), Digital Spy (2017-2018) and The Sun (2018-2020). She also previously teamed up with SEO agency Blue Array to co-author Amazon bestselling book Mastering In-House SEO.

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