Major brands including Comcast, IBM, Disney, Warner Bros. Discovery, and Lionsgate Entertainment have resumed advertising on X (formerly Twitter) after a year-long boycott, according to reports from AdWeek and The Western Journal. This move comes after these companies distanced themselves from the platform in late 2023 citing concerns about "content moderation" and "controversial statements" made by X owner Elon Musk.
Disney, IBM, Comcast, Warner Bros. Discovery, and Lionsgate are returning to advertising on X after a year-long boycott. pic.twitter.com/KS743VFPET
— TFTC (@TFTC21) November 15, 2024
Despite their return, these companies’ ad spending on X remains significantly reduced. From January to September 2024, they collectively spent $3.3 million on the platform, a stark drop from the $170 million spent during the same period in 2023, according to data from MediaRadar.
The return of major advertisers aligns with efforts by X’s CEO Linda Yaccarino to rebuild trust and partnerships. Musk acknowledged the developments on the platform, expressing gratitude to advertisers for resuming campaigns and to Yaccarino for her role in restoring confidence.
However, smaller, challenger brands such as Karma Shopping and Kueez have capitalized on the reduced competition, spending over $68 million on X ads this year. Meghan Fraze, Chief Product Officer at MediaRadar, suggested that X might be adopting a “long-tail advertiser strategy,” focusing on newer brands seeking opportunities to connect with audiences without intense competition from legacy advertisers.
The 2024 U.S. presidential election may have also influenced the return of advertisers. President-elect Donald Trump’s close ties with Musk have reshaped perceptions of X’s strategic importance. With Musk’s endorsement of Trump and predictions that his presidency could benefit X, resuming ad spending on the platform could be viewed as advantageous for businesses navigating the current political and economic climate.
While companies like IBM have stated that their approach to X remains unchanged, others, including Disney and Comcast, have yet to comment publicly. The platform’s evolving ad model, coupled with its political ties, may further influence how brands approach their strategies on X.
