• Elon Musk’s X faces a potential $75 million loss in advertising revenue as major brands halt marketing campaigns, per The New York Times.
• Musk’s endorsement of an antisemitic post led companies like Walt Disney and Warner Bros Discovery to pause ads on the platform
.• X sues Media Matters over defamation, citing a report linking major brands, including Apple and Oracle, to posts endorsing Adolf Hitler.
Elon Musk’s social media venture, X, confronts the prospect of a significant $75 million loss in advertising revenue by year-end, with major brands pausing marketing efforts, according to media reports.
As reported by The New York Times, Musk’s endorsement of an antisemitic post last week prompted companies such as Walt Disney (DIS.N) and Warner Bros Discovery (WBD.O) to suspend their ads on the platform, formerly known as Twitter.
X has retaliated by suing Media Matters, alleging defamation over a report claiming ads for major brands like Apple and Oracle appeared alongside posts endorsing Adolf Hitler and the Nazi party.
Internal documents disclosed this week by The New York Times outline over 200 ad units from companies like Airbnb, Amazon, Coca-Cola, and Microsoft, with many either halting or considering a pause in their social network ads.
X acknowledged on Friday that $11 million in revenue is at risk, with the exact figure fluctuating as advertisers return or increase spending, according to the report.
Advertisers have been departing X since Musk’s October 2022 acquisition, coupled with reduced content moderation, resulting in a surge of hate speech on the platform, according to civil rights groups.
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