Elon Musk’s journey with Twitter is still far from coming to a halt. In a tweet on Friday morning, the new owner said the social network had suffered a “massive” drop in revenue. The businessman took no time to point out the culprits: activist groups that are pressuring sponsors.
After close twitter purchase in late October, Tesla’s CEO has been making big changes for both users and employees. In addition to change page interface and suggest changes to the verified seal, the boss has already performed employee layoffs and executives.
However, he considers that the decrease in companies interested in placing advertisements on the site is the exclusive fault of activists.
A civil society organization sent a open letter on Tuesday (1) asking brands that sponsor Twitter to stop doing so. In the text signed by more than 30 different groups, they mention that the businessman spread a conspiracy theory about the violent attack on the husband of Nancy Pelosi, speaker of the United States House of Representatives.
Additionally, activists point to the mass layoffs and rise in hate speech once Musk took over the site. Finally, the group urges companies to protect the security of their names, demanding moral and civic responsibility to “go against the degradation of one of the largest communication platforms in the world”.
However, Elon Musk claims in his tweet that “nothing has changed with content moderation”, but not quite.
Distrust was quickly generated
One of the first big changes was the departure of Twitter’s Chief Customer Officer Sarah Personette. She decided to leave the company on the 28th of October. The entire relationship of the social network with the sponsors was done by the professional.
Furthermore, according to Bloomberg, employees lost access to some moderation tools, creating an environment of concern about misinformation. All this before the midterm elections in the United States, which help to elect new representatives of the US Senate.
In this way, a level of distrust arose on the platform. O The Wall Street Journal reported that companies such as GM, Audi, General Mills and Pfizer have decided to pause their marketing efforts on the blue bird network. Others like Mondelez and Volkswagen, for example, are rethinking the strategies of their brands on the site.
It is worth noting that Mondelez is part of the list of the top 20 advertisers on Twitter. Just to illustrate, 90% of the company’s revenue in the second quarter of 2022 is due to ads. That is, the departure of strong names would greatly affect Elon Musk’s profits.
Tesla’s CEO needs to fix the house as soon as possible to make the $44 billion investment worthwhile.
With information: TechCrunch.