Has Ad Revenue Crisis Hit X? Why Has Elon Musk Tweeted THIS

Elon Musk: The billionaire and owner of social media site X (previously Twitter), Elon Musk, recently made public the price of advertising on his network. Musk revealed a startling fact about the platform's advertising expenses on X on Thursday.

Elon Musk's Revelation

He wrote on x that, " Did you know that it costs as little as 3 cents per ad click on this platform? Make sure your ad is interesting and clear, just like a viral post would be and the results will amaze you."

Musk said X has cheap advertising costs, but this revelation coincides with serious problems for the platform. Users of the site are concerned about the platform's difficulties with adult content and content control, which has also hurt its advertising income. Musk's admission regarding the cheap cost of advertising would draw more companies to the platform in spite of the ongoing disputes around it.

Continued Public Attention

X has kept making news in spite of these obstacles. Reactions to the platform's recent introduction of giving some users blue checkmarks were not uniform. Furthermore, X's advertising revenue has significantly decreased as a result of criticism for its content control practices. The platform was expected to generate $2.5 billion in ad revenue in 2023, a significant decline from years prior.

Advertising Revenue of Other Platforms

In comparison to the same quarter in 2022, YouTube's global advertising income increased by 15.5% to $9.2 billion in the fourth quarter of 2023. Over the course of the previous fiscal year, YouTube's global advertising sales increased by roughly eight percent to $31.51 billion in 2023.

Instagram made $50.58 billion in revenue from ads in 2023, a $7.3 billion increase over 2022. Instagram's projected ad revenue in 2024 is $59.61 billion, nearly seven times higher than in 2018.

Facebook's ad income in 2023 increased by approximately $18.3 billion from 2022 to $131.94 billion. The majority of the social network's income comes from advertising. Ad revenues increased at an average yearly growth rate of 23.5% from 2017 and 2024. The biggest year-over-year growth in Facebook's ad sales occurred in 2018, with a 37.7% increase.