Elon Musk’s social media platform X (formerly known as Twitter) is bracing for a massive advertising departure in 2025, with 26% of marketers planning to reduce their ad spending on the platform. According to a market research firm Kantar report, advertisers are increasingly losing trust in X, citing concerns over brand safety and unpredictable management under Musk’s leadership.
The decline in advertising revenue is part of a longer-term trend that began shortly after Musk’s acquisition of the platform. X has already lost 60% of its ad revenue, with many brands fleeing the platform due to the surge of controversial content, including pro-Nazi and extremist posts that have been allowed to proliferate under the guise of free speech. The report highlights that only 4% of advertisers currently believe X provides adequate brand safety, a stark contrast to platforms like Google, which boasts a 39% trust rating among advertisers.
Kantar’s research shows that X is now viewed as one of the least trusted platforms in the digital advertising space. Trust in X has plummeted from 22% in 2022 to just 12% in 2024, and it now ranks outside the top 10 in global trust for innovative advertising solutions. By comparison, competitors like TikTok and YouTube are seen as more innovative and reliable, further cementing X’s struggles to retain advertisers.
Musk’s controversial behavior has exacerbated the platform’s issues, including his recent promotion of a Tucker Carlson video featuring a guest who expressed sympathies for Adolf Hitler. Musk’s decision to post the video—and later delete it—further damaged the platform’s already tarnished reputation. His ongoing battle with brand safety organizations, such as the Global Alliance for Responsible Media (GARM), which he sued into dissolution, has only added to the uncertainty surrounding X’s future.
Despite the exodus of advertisers, some users have expressed satisfaction with the reduced ad load on X. However, the loss of major brands and marketers poses a significant financial threat for a company that relies heavily on advertising revenue. The company is already facing a mountain of debt and has struggled to reverse the decline in revenue since Musk took control.
Looking ahead to 2025, the outlook for X is bleak. Without a clear strategy to regain advertiser confidence and restore trust in the platform, X risks sinking deeper into financial turmoil. The continued departure of brands and advertisers could push X closer to a breaking point, leaving Musk with limited options to keep the platform afloat.
As other platforms like TikTok, YouTube, and Google continue to attract advertisers with better brand safety and innovation, X will have to make substantial changes if it hopes to recover from this advertising crisis. Without these efforts, the platform could face even more severe financial losses in the coming years, further eroding its influence in the digital advertising landscape.
Sara Sheehan is a talented software engineer with a passion for exploring various tech topics. She has a strong expertise in web development, software development, and digital marketing, continually expanding her knowledge in these areas. Sara is dedicated to staying ahead of the curve in the ever-evolving tech industry, always seeking out new challenges and opportunities to grow her skill set.