More advertisers may leave social media platform X, experts say. Musk publicly lashed out at advertisers who pulled out of social media platform X following anti-Semitic content. This was during an interview at the New York Times Dealbook Summit on Wednesday.
Controversy came when Musk commented ‘real truth’ under a tweet accusing him of inciting Jew hatred against white people. Following this, Walt Disney and Warner Bros. including Discovery stopped advertising on X.
Musk, who expressed regret for his controversial post, spoke abusively of advertisers. “The advertisers who left X should not threaten me with advertising and money,” Musk said during the interview. Profanity was also used. The slur referred to Robert Iger, the head of Walt Disney, by name.
Experts have estimated that more brands may stop advertising on X, angered by Musk’s behavior, and those who left may not come back.
Meanwhile, the company expressed support for Musk’s words in a letter to X employees yesterday. Ex-CEO Linda Yaccarino said in the letter that they do not value their principles and will not compromise them.
But Musk says an advertiser boycott could push X into debt. But Musk said that advertisers are not to blame for X’s decline.
X may lose not only advertisers, corporate brands, but also money from political candidates. Musk waived the company’s previous ban on political ads to generate more revenue. Spending on 2024 US presidential campaign ads is expected to reach a record $1.02 billion. Experts also estimate that a large share of the income that should have been received in this way is lost.