Twitter has suffered a “massive drop in revenue” because of advertisers pausing spending on the social media platform, Elon Musk, the new owner of the company, said Friday without providing numbers.
In a tweet, the Tesla, Twitter, and SpaceX CEO cast blame on “activist groups pressuring advertisers.” He said Twitter hasn’t changed its content moderation strategy, and added the company has done “everything we could to appease the activists.”
Musk didn’t specify how much revenue the company has lost from the pullback, or how he was able to attribute that loss to pressure from activist groups.
Musk reiterated his views Friday in an interview at the Baron Investment Conference.
“We’ve made no change in our operations at all,” Musk said at the event. “And we’ve done our absolute best to appease them and nothing is working. So this is a major concern. And I think this is frankly an attack on the First Amendment.”
Twitter has fired or laid off approximately 50% of its employees since he took over on Oct. 28.
In recent days, a number of companies said they would temporarily pause their advertising spending on Twitter to see how things would change there under Musk’s ownership. Tesla competitors General Motors and Audi, and food titan General Mills are among the companies that have paused Twitter spending. Ad giant IPG advised clients to temporarily pause their Twitter media plans, though it’s unclear how many clients are taking IPG agencies’ advice.
Twitter informed employees Thursday evening that it would begin laying off staff members, according to communications obtained by CNBC. Twitter’s content moderation team is expected to be among those job cuts, Reuters reported, citing tweets by employees.
CNBC has also learned that deep cuts were made to Twitter’s global marketing team which handles, among other things, reporting and metrics around ad performance, sales performance and spam.
Earlier this week Musk, who is now serving as Twitter CEO and calls himself “Chief Twit,” met with a group of leaders of civil society organizations to address concerns about hate speech and election-related misinformation on the platform.
Since Musk took the helm, online trolls and bigots raided Twitter, and hate speech has surged on the platform. Musk also tweeted out, then deleted, an unfounded and anti-LGBTQ conspiracy theory about a home invasion and assault on Paul Pelosi, husband of the speaker of the House Nancy Pelosi.
Some of the organizations represented in the hour-long Zoom call on Tuesday have now co-signed an open letter to top Twitter advertisers urging them to suspend their ad spending if Musk fails to enforce the company’s safety standards and community guidelines.
Despite Musk’s claims of a recent revenue slump, Twitter’s ad spending had been on the decline before Musk’s takeover of the company was complete, and before civil society organizations began pressuring brands, according to ad analytics platform MediaRadar.
Advertisers on Twitter increased between April and May, around the time that Musk’s plan to take Twitter private was announced, before it began to decline, according to data from MediaRadar. But the average number of advertisers on the platform fell from 3,900 in May to 2,300 in August. It had 2,900 advertisers in September.
Oil prices plunge on economic fears, dollar strength
China's Xi to visit Saudi Arabia from Wednesday, attend summit with GCC rulers
Islamabad police register case of Arshad Sharif's murder on SC's orders
General elections to be held in October, 2023: Ahsan Iqbal
SC directs to register FIR of journalist Arshad Sharif murder
PM pays tribute to late Najma Hameed’s services for party
Winter activity and political turmoil!
Government, opposition and public!
Present regime and dengue!
The repetition of history and the hidden sciences!
Whispers, rumors and rulers' narrative!
دو مجرم خاندانوں نے ملک کا بیڑا غرق کر دیا
معاشی ایمرجنسی کی خبریں،بینکوں سے پیسہ غائب | Hafeez Pasha Exposed Economics Crisis | Arif Hameed
کپتان کا بڑا بیان،حکومتی ایوانوں میں ہلچل مچ گئی | News Headlines | 12 AM | 07 Dec 2022 | GNN
جو ہونا تھا ہو گیا ،رونے دھونے کی بجائے آگے بڑھو ۔ وزیراعظم کی صلح کی پیشکش
News Edge with Fereeha Idrees | Arif Hameed Bhatti | Zafar Hilaly | Ijaz-ul-Haq | GNN |Arshad Sharif
مقدمات کس کے کہنے پر ردج ہوئے؟اصل قاتل کون؟عارف حمید بھٹی نے خاموشی توڑ دی | Arif Hameed Bhatti| GNN
Pakistan 1 day ago
Pakistan to work with Afghan govt to address terrorist outfits challenge: FM
Sports 1 day ago
FIFA World Cup: Japan to face Croatia, Brazil to take on Korea
Regional 1 day ago
IRSA releases 83,900 cusecs water
World 1 day ago
UNGA adopts resolution highlighting power of sport to attain peace, development
Pakistan 2 days ago
PM Shehbaz felicitates people of Sindh on culture day
Pakistan 1 day ago
PM to inaugurate refurbishment project of Mangla Dam units
Pakistan 1 day ago
PM inaugurates refurbishment project of Mangla Dam units
Business 1 day ago
Govt releases Rs 494.97M for 15 aviation sector project