(WatchDogReport.org) – According to a New York Times report, the US advertising revenue of Twitter is in steep decline. From April 1 to the first week of May this year, the company’s American ad revenue was only $88 million — a 59 percent decline compared to the same period in 2022.
The New York Times pointed out that an internal forecast predicted this would be worse in the short term. Estimates reveal that the company’s US ad revenue in June will be down 56 percent weekly compared to “a year ago.”
This situation represents a significant setback for CEO Elon Musk, who said during an April interview at the BBC that things were going to be alright. He told the British outlet he was certain that almost every advertiser would return. So far, this hasn’t happened.
According to some documents and several former and current employees, this problem won’t be solved anytime soon. The company has fallen short of its American sales projections regularly. Most of the time, it has dropped as much as 30 percent, a delicate number for a tech juggernaut like Twitter.
What’s even worse for the company is that its ad sales staff is deeply worried that advertisers may run away because of the rise of pornography and hate speech. According to different reports, both have skyrocketed over the last few months, and nothing seems to suggest a decrease. In fact, the current and former staff that spoke to the Times said that the proliferation of online gambling could also spook advertisers.
Despite the issues described by the liberal newspaper, experts believe this situation would inevitably happen with or without Musk. After all, Twitter has been showing poor performance over the last few years, to the point where many consider it the most problematic Big Tech company.
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