Half of Twitter’s top advertisers appear to have halted their activity on the social media platform amid billionaire Elon Musk’s chaotic takeover of the company.
Fifty of Twitter’s top 100 advertisers have stopped advertising on the site as of Nov. 21, according to a recent report from left-leaning media watchdog Media Matters for America.
Several of the companies officially announced their decision not to advertise on Twitter, including Chevrolet, Chipotle, Ford, Jeep, Kyndryl, Merck and Novartis. The remaining companies were identified by Media Matters’ analysis as “quiet exiters”, those that previously advertised on social media but have stopped for a significant period of time.
Another seven companies appear to be slowing their advertising to almost nothing, according to the Media Matters report.
The 50 companies that stopped advertising on the platform accounted for more than $750 million in spending on Twitter in 2022 and nearly $2 billion in total since 2020.
Musk completed his $44 billion acquisition of Twitter late last month and has since presided over a chaotic transition at the company. The Tesla and SpaceX chief said Twitter saw a “massive drop”[ads1]; in revenue in its first week, as advertisers pulled out over concerns about content moderation.
“Twitter has had a massive drop in revenue, due to activist groups pushing advertisers, even though nothing has changed with content moderation and we did everything we could to appease the activists,” Musk said.
Musk laid off about half of Twitter’s workforce in the first week, claiming he “had no choice” amid the company’s poor financial condition. Several hundred employees resigned in mid-November when Musk gave them an ultimatum – commit to a “hard core” work environment or leave.
The billionaire has also made changes to the social media platform itself, unsuccessfully trying to roll out a paid subscription service for Twitter’s blue check verification and reinstate former President Trump’s account. Musk has also indicated that he plans to reinstate other suspended accounts in the near future.