Ad spending on Twitter fell 71 percent in December, data from an advertising research firm showed, as top advertisers slashed spending on the social media platform following its acquisition by Elon Musk.
The most recent Standard Media Index (SMI) data is from Twitter attempts to reverse the exodus of advertisers. It has rolled out a number of initiatives to win back advertisers, offer some free ads, lift a ban on political advertising, and give companies greater control over where their ads are positioned.
Adspend on Twitter fell 55 percent year-on-year in November, according to SMI data, despite these months traditionally being a time of higher adspend as brands promote their products during the holiday season.
Twitter did not immediately respond to a Reuters request for comment.
Most companies stopped spending in November, estimates from another research firm, Pathmatics, showed in the same month musk restored banned accounts and released a paid account verification that led scammers to pose as a company.
Pathmatics estimates that 14 of the top 30 advertisers on Twitter stopped all advertising on the platform after Musk took charge on Oct. 27.
In a November event Twitter SectionsMusk addressed the issue of companies pausing ads, saying he understands when advertisers “want to take a minute.”
Around the same time, Musk had also accused activist groups of pressuring advertisers to run ads on social media platforms. Ad sales make up about 90 percent of Twitter’s revenue.
Twitter’s fourth-quarter revenue fell about 35 percent year-on-year on a slump in advertising, tech-focused publication The Information reported, citing details shared by a top Twitter advertising executive at a staff meeting last week .
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