In the wake of an escalating advertiser exodus over concerns about antisemitism and hate speech on Elon Musk’s social media platform, formerly known as Twitter and referred to as X, at least twelve major brands have halted their ad spending. Notable names like Fox Sports, Ubisoft, Axios, TechCrunch, and Paris Hilton’s 11:11 Media have all confirmed that they’ve suspended ad expenditures on X in recent days, joining other prominent advertisers who abandoned the platform last week.
This widespread departure of advertisers compounds the challenges for X, already struggling to regain the trust of brands since Musk’s takeover last year. Concurrently, an increasing number of X users are migrating to alternative platforms, with even the White House recently joining Threads, giving a boost to Meta’s X competitor.
The latest wave of withdrawals commenced when IBM announced the suspension of its advertising on X following a report from progressive media watchdog Media Matters, which revealed its ad appearing alongside pro-Nazi content on the platform. Musk’s public endorsement of an antisemitic conspiracy theory further fueled the advertiser revolt. Subsequently, major media brands like Disney, Paramount, Comcast, Lionsgate, NBCUniversal, and CNN-parent Warner Bros. Discovery also suspended their ad spending on X last Friday, though without specifying their reasons. Apple reportedly joined this exodus last week as well.
In response, X urged its advertising partners to safeguard what it termed “freedom of speech” and filed a lawsuit against Media Matters, accusing the watchdog of misrepresenting the likelihood of ads running alongside extremist content. While X claimed to have made pro-Nazi accounts identified by Media Matters ineligible for monetization, these accounts, along with other far-right and White supremacist ones reinstated by Musk, remain active on the platform. Despite X CEO Linda Yaccarino emphasizing brand safety controls, some advertisers, including the National Football League, have expressed concerns about hate speech but have not withdrawn their spending.
The company’s attempts to reassure advertisers have fallen short, with critics highlighting the continued presence of objectionable content on the platform. Musk’s recent endorsement of the debunked “Pizzagate” conspiracy theory has added to the growing unease surrounding X. The situation underscores a deepening crisis for the platform, both in terms of retaining advertisers and maintaining user loyalty.