Elon Musk’s Twitter Takeover More Difficult than Musk Thought

Elon Musk’s Twitter takeover might’ve taken a turn for the worse from a fiscal perspective for Musk. A report released yesterday says that half of Twitter’s top 100 advertisers are no longer advertising on Twitter. Media Matters For America reports that these 50 advertisers have spent almost $2 Billion on Twitter ads since 2020 and more than $750 million just in 2022. Some companies that have stopped paying Twitter include Chevrolet, Chipotle Mexican Grill, Inc., Ford, Jeep, Kyndryl, Merck & Co., and Novartis AG. These companies released statements saying they no longer advertise on the platform “for a significant time following direct outreach, controversies, and warnings from media buyers.” Media Matters for America reports that “Musk has continued his rash of brand unsafe actions — including amplifying conspiracy theories, unilaterally reinstating banned accounts such as that of former President Donald Trump, courting and engaging with far-right accounts, and instituting a haphazard verification scheme that allowed extremists and scammers to purchase a blue check.” It’ll be interesting to see how this plays out for Twitter long-term. Will this hurt Twitter?