Please ensure Javascript is enabled for purposes of website accessibility
Big Brands Spend Just Enough on X to Avoid Musk's 'Naughty List'
News
By News
Published 3 weeks ago on
April 2, 2025

Major brands allocate minimal ad budgets to X, balancing platform presence against potential conflicts with owner Elon Musk. (GV Wire Composite/David Rodriguez)

Share

Getting your Trinity Audio player ready...

Major brands are allocating light advertising budgets to Elon Musk’s X platform to avoid potential conflicts with the billionaire owner, according to Ars Technica.

Marketing execs reveal that companies feel pressured to maintain a presence on X, particularly following Musk’s prominent role in President Trump’s administration and recent legal actions against advertisers who ceased spending.

Lou Paskalis, CEO of AJL Advisory, explains, “It’s whatever amount is enough to stay off the naughty list. The far greater risk is that a comment (from Musk) in the press sends your stock price tumbling.”

Revenue and Advertiser Trends

X’s revenue is projected to increase to $2.3 billion this year, up from $1.9 billion last year, but still below 2022’s $4.1 billion. Some major advertisers, including Hulu and Unilever, have returned to the platform, while others like American Express have significantly reduced their spending.

Four large ad agencies are negotiating annual spending targets with X, despite concerns about potential legal repercussions. X has filed a federal antitrust lawsuit against a coalition of brands and ad agencies, accusing them of coordinating an “illegal boycott.”

Mark Penn, CEO of Stagwell agency, believes X is “a revived and increasingly vibrant platform,” noting that “political boycotts and things are dissipating because companies are realizing that taking one side and the other is a dangerous place to be.”

However, some industry experts remain skeptical about the platform’s return on investment and its ability to attract major advertisers at previous levels.

Read more at Ars Technica

RELATED TOPICS:

DON'T MISS

What Are Fresno Real Estate Experts Predicting for 2025 and Beyond?

DON'T MISS

First California EV Mandates Hit Automakers This Year. Most Are Not Even Close

DON'T MISS

California Proposes Allowing Testing of Self-Driving Heavy-Duty Trucks

DON'T MISS

Higher Taxes on Millionaires? Trump Says He’s Open, but Many in His Party Are Not

DON'T MISS

Ex-US Rep. George Santos Sentenced to Over 7 Years in Prison for Fraud and Identity Theft

DON'T MISS

Selma Mayor Charged With Electioneering Violation on Election Day

DON'T MISS

Fresno Air Improves. Where Does It Rank in the US?

DON'T MISS

As Harris Ponders Run for CA Governor, Is She Prepared for the Daunting Job?

DON'T MISS

Stocks Rise With Tech-Related Shares, Notch Weekly Gains; Dollar Up

DON'T MISS

Conflicting US-China Talks Statements Add to Global Trade Confusion

DON'T MISS

Driving Near the Fresno Airport Next Week? Plan for Road Closures

DON'T MISS

Misty Her: Push for Fresno Unified Turnaround Starts Now With ‘Boots on the Ground’

UP NEXT

Higher Taxes on Millionaires? Trump Says He’s Open, but Many in His Party Are Not

UP NEXT

Ex-US Rep. George Santos Sentenced to Over 7 Years in Prison for Fraud and Identity Theft

UP NEXT

Selma Mayor Charged With Electioneering Violation on Election Day

UP NEXT

Fresno Air Improves. Where Does It Rank in the US?

UP NEXT

Stocks Rise With Tech-Related Shares, Notch Weekly Gains; Dollar Up

UP NEXT

Conflicting US-China Talks Statements Add to Global Trade Confusion

UP NEXT

Driving Near the Fresno Airport Next Week? Plan for Road Closures

UP NEXT

Misty Her: Push for Fresno Unified Turnaround Starts Now With ‘Boots on the Ground’

UP NEXT

Fresno Police Arrest 17 in Domestic Violence Crackdown

UP NEXT

What’s Next for Fresno Smoke Shop Ordinance: Lawsuit, Veto, Override?

Selma Mayor Charged With Electioneering Violation on Election Day

2 hours ago

Fresno Air Improves. Where Does It Rank in the US?

3 hours ago

As Harris Ponders Run for CA Governor, Is She Prepared for the Daunting Job?

3 hours ago

Stocks Rise With Tech-Related Shares, Notch Weekly Gains; Dollar Up

4 hours ago

Conflicting US-China Talks Statements Add to Global Trade Confusion

4 hours ago

Driving Near the Fresno Airport Next Week? Plan for Road Closures

4 hours ago

Misty Her: Push for Fresno Unified Turnaround Starts Now With ‘Boots on the Ground’

4 hours ago

Fresno Police Arrest 17 in Domestic Violence Crackdown

4 hours ago

What’s Next for Fresno Smoke Shop Ordinance: Lawsuit, Veto, Override?

5 hours ago

Visalia Man Sentenced to Life in Prison for 2019 Fatal Stabbing

6 hours ago

California Proposes Allowing Testing of Self-Driving Heavy-Duty Trucks

LOS ANGELES — California regulators have released a new proposal to allow the testing of self-driving heavy duty trucks on public roads. The...

2 hours ago

2 hours ago

California Proposes Allowing Testing of Self-Driving Heavy-Duty Trucks

2 hours ago

Higher Taxes on Millionaires? Trump Says He’s Open, but Many in His Party Are Not

2 hours ago

Ex-US Rep. George Santos Sentenced to Over 7 Years in Prison for Fraud and Identity Theft

Selma Mayor Scott Robertson (left) has been charged with misdemeanor electioneering for allegedly campaigning near voters at a polling place during the November 2024 election. (Facebook)
2 hours ago

Selma Mayor Charged With Electioneering Violation on Election Day

3 hours ago

Fresno Air Improves. Where Does It Rank in the US?

3 hours ago

As Harris Ponders Run for CA Governor, Is She Prepared for the Daunting Job?

4 hours ago

Stocks Rise With Tech-Related Shares, Notch Weekly Gains; Dollar Up

A drone view shows containers at the terminals at the port in Kwai Chung in Hong Kong, China, April 3, 2025. (REUTERS/Tyrone Siu/File Photo)
4 hours ago

Conflicting US-China Talks Statements Add to Global Trade Confusion

Help continue the work that gets you the news that matters most.

Search

Send this to a friend