Linda Yaccarino, CEO of Elon Musk's X, announced a significant milestone with over 10 million sign-ups this December. This follows concerns about a potential $75 million loss in advertising revenue by year-end due to major brands withdrawing campaigns following Musk's support of an anti-Semitic conspiracy. Internal documents revealed that companies like Airbnb, Amazon, Coca-Cola, Microsoft, and others paused or considered pausing ads on X, with Walmart confirming its withdrawal last week.
Reports in October highlighted X's decline, losing over half a billion user visits in September, dropping to seventh place globally behind Instagram. SimilarWeb data showed a 10% traffic drop from 6.4 to 5.8 billion visits. This decline affected 83% of the 176 countries visiting X in September.
Musk's controversial response to advertisers and subsequent apology added to the platform's tumultuous phase, marking it as one of his regrettable social media posts. Despite challenges, X continues to draw significant new sign-ups in December.
Key Points:
1. Over 10 million people have joined X in December, announced by CEO Linda Yaccarino, following reports of potential advertising revenue loss due to major brands withdrawing campaigns after Elon Musk's endorsement of an anti-Semitic theory.
2. The speculation about X losing up to $75 million in advertising revenue by year-end coincided with over 200 ad units from companies like Airbnb, Amazon, Coca-Cola, Microsoft, and others pausing or contemplating halting their ads on the platform, as per internal documents reviewed by The New York Times.
3. Walmart, a significant retail player, confirmed it's not running advertisements on X, contributing to the platform's decline. Earlier data revealed a substantial drop in user visits, causing X to slip to seventh place globally, trailing behind Instagram.
4. X experienced a noticeable traffic decrease from 6.4 billion to 5.8 billion visits in September, marking a 10% decline, as reported by SimilarWeb data.
5. Among the 176 countries visiting X in September, 83% witnessed a drop in visits compared to the previous month, indicating a widespread decline in platform engagement.
6. Elon Musk faced backlash from advertisers when he responded harshly to top companies pulling ads following his support of anti-Semitic content. However, he later apologized, acknowledging it as one of his "dumbest" social media posts to date.
7. Despite the negative impact on ad revenue and user visits, X still managed to attract a significant number of new sign-ups, surpassing 10 million in December, as per CEO Linda Yaccarino's announcement.
8. The internal documents revealing the pause in advertisements by major companies like Airbnb, Amazon, Coca-Cola, and Microsoft contributed to concerns about X's financial outlook and its standing among advertisers.
9. Walmart's decision to abstain from advertising further added to X's challenges, aligning with earlier data that showed a significant drop in user visits and a decline in global ranking.
10. Elon Musk's controversial remarks and subsequent apology highlighted the tension between advertiser concerns and the platform's leadership, ultimately impacting X's advertising partnerships and user engagement metrics.
(With Agency Inputs)
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