Home News Under Elon Musk, Twitter lost half of its ad revenue

Under Elon Musk, Twitter lost half of its ad revenue

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The social network Twitter has lost nearly half of its advertising revenue since its acquisition by Elon Musk in October 2022, it was reported last Saturday, July 15.

“We are still in a negative cash flow situation, due to a drop in advertising revenue of about 50% and a heavy debt load.”The billionaire responded on Twitter to a user who made strategic suggestions regarding the Blue Bird network, which it bought for $44 billion.

sequel after announcement

“We have to get to positive cash flow before we can have the luxury of doing anything else.”Added without further details.

Twitter: Is Elon Musk (Really) Scaring Advertisers?

In May, Insider Intelligence claimed that Twitter was on track to earn less than $3 billion in 2023, nearly a third less than it did in 2022.

The developments that Elon Musk has initiated since his takeover of Twitter have annoyed network users and advertisers. At the beginning of July, he announced his intention to limit tweet reads to 10,000 per day for verified accounts, thus pushing accounts, 1,000 for other accounts and up to 500 for new accounts.

A few days later, a new announcement: the TweetDeck app, which is widely used by information professionals, will be reserved for the following month for approved accounts, and thus payment.

sequel after announcement

Filament competitor

The changes come as Thread, an app launched by Facebook’s Meta parent company to compete with Twitter, passed the 100 million user mark just five days after its launch on July 5. This is the first major threat to the vulnerable Twitter platform since its billionaire takeover.

Threads, Twitter’s new competitor, has more than 10 million subscribers in its seven hours of existence

The number of users of Threads is still far behind that of Twitter, which has between 200 and 350 million users, according to estimates. But Meta could count on synergies with popular photo-sharing app Instagram, which has nearly 2 billion active users.

The thread layout is just like its competitor Bluebird, right down to the blue tick for verified accounts. Unlike Twitter, where the only criterion for brand attribution now is signing up for a paid subscription, threads verify that the account is indeed that of the person whose name is displayed.

Elon Musk, from superhero to supervillain in the eyes of Americans

Elon Musk counterattacked, sending via attorneys for Twitter’s parent company, X Corp, a letter accusing Meta of breaching trade secrets and intellectual property rights.

Facebook’s parent company, which is headed by Mark Zuckerberg, has been accused in particular of recruitment “tens” Former Twitter employees, according to the document, which was published by the news site Semaphore.

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