In a significant blow to Twitter’s financial landscape, internal documents obtained by The New York Times indicate that the social media giant is set to lose a staggering $75 million in advertising revenue by year-end due to the suspension of ad campaigns. The documents, sourced from Twitter’s Salesforce X, reveal the extent of the crisis, listing over 200 ad campaigns from major brands like Airbnb, Amazon, Coca-Cola, and Microsoft, most of which have halted or are contemplating a pause in advertising on the platform.
Twitter initially downplayed the risk, stating a potential loss of $11 million on Friday. However, the internal documents provide a more alarming perspective, tracking the impact of ongoing and potential ad suspensions throughout the month. The figures fluctuate as some advertisers return to the platform while others amplify their spending cutbacks.
The reluctance of advertisers to engage on Twitter has been exacerbated since Elon Musk’s acquisition of the platform for $44 billion last year. Concerns about Musk’s behavior and content moderation decisions have led to a nearly 60% drop in advertising on the e-commerce platform in the U.S. this year, prompting efforts to regain advertiser trust.
The documents reveal that over 100 brands have fully suspended their advertising, while dozens more are deemed “at risk.” Notably, the crisis escalated after Musk endorsed an anti-Semitic conspiracy theory on Nov. 15, leading to a wave of suspensions, including major brands like Airbnb and Uber.
Airbnb has halted over $1 million worth of advertising, while Uber cut $800,000 in advertising across U.S. and international markets. Jack in the Box, Coca-Cola, and Netflix have also suspended some campaigns, with X estimating that Netflix’s discontinued ads alone cost nearly $3 million.
Microsoft subsidiaries and divisions of Amazon, Google, and others have faced potential losses in the millions, reflecting the broad impact of the ad suspension crisis. Republican presidential candidate Chris Christie criticized Musk’s comments on NBC’s “Meet the Press,” labeling them as part of a disturbing surge in “outrageous hatred.”
Despite the turmoil, X CEO Linda Iaccarino made no reference to Musk’s controversial remarks in an internal meeting, attributing the company’s challenges to a report by Media Matters. She emphasized X’s commitment to free speech and democratic values, resisting external pressure.
Musk, known for his outspoken nature, has previously spotlighted companies continuing to advertise on Twitter, using the platform to announce donations related to the Gaza war. The unfolding situation underscores the intricate challenges Twitter faces in balancing free speech principles, advertiser expectations, and community standards.
