As per a New York Times report, X could lose as much as $75 million (nearly INR 625 crore) in advertising revenue by the end of the year as dozens of major brands pause their marketing campaigns.
The platform is facing pressure from advertisers after a recent Media Matters report revealed how X pushes right-wing content such as 'white pride' and 'anti-semitism', supporting Hitler and the Nazi party. Owner Elon Musk, in rebuttal, has decided to sue the publication, claiming that the reports are 'manufactured' to drive advertisers from the platform and 'destroy' X Corp.
Advertisers like IBM, Apple, Comcast, and NBCUniversal have pulled their ads out of the app due to the reports.
X has stated that around $11 million (nearly INR 92 crore) in revenue was at risk and the actual number fluctuated due to some advertisers pulling out and others increasing their ad revenue.
Advertisers have been pulling out since October 2022 due to Musk's lack of content moderation coupled by hate speech on the platform. Reuters has previously reported, that X's US ad revenue has gone down at least 55% year-over-year each month since Musk's takeover.