Losing ad revenue is bad for a company that depends on it. That is exactly what is happening to Musk's new venture. According to a New York Times report, US ad revenue for the social networking site came in below expectations.
Expectations are just for one week, but they don't paint a good picture of what's happening at the micro-blogging site. The World Cup is the biggest showcase for the world's most popular sport and it only happens every four years, so it should be a time of massive ad revenue for the social networking site. The Times says that it hasn't been. The internal revenue projections for the last quarter of the year have been slashed.
Since Musk took over, advertisers have been fleeing the site in droves. Half of the site's top advertisers are said to have left. The thought is that big brands don't want their ads to be seen next to offensive tweets, so Musk has restored banned accounts and shut down the site's misinformation policy.
The Times reported that hate speech has gone up since the Musk takeover.
It will be interesting to see if Musk has to give up his free speech in order to make money.
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