Amazon Increases Ad Spending on X After Safety Concerns

Amazon has increased its advertising expenditure on X (formerly Twitter), marking a significant reversal after previously cutting back due to concerns over hate speech and brand safety issues.

Following Elon Musk’s acquisition of the platform in October 2022, reports indicated a weakening of content moderation, prompting major advertisers, including Amazon and Apple, to reduce or halt their spending. Many feared that their ads could appear alongside harmful or offensive content, especially after Musk reinstated previously banned accounts and reduced moderation staff.

However, the Wall Street Journal reports that Amazon is now ramping up its ad spending on X, with CEO Andy Jassy playing a pivotal role in the decision. Apple, which also halted its advertising on the platform, is reportedly considering resuming its ad campaigns.

This development is crucial for X, as the platform experienced a 55% decline in its monthly U.S. ad revenue year-over-year after Musk’s takeover. Musk himself has acknowledged that prolonged ad boycotts could financially threaten X’s stability.

Amazon’s return, along with potential renewed investment from Apple and other major brands, highlights the evolving relationship between corporations and social media platforms. It also underscores the ongoing debate between brand safety concerns and the vast reach that platforms like X offer to advertisers.