Big Advertisers are Pausing Ads on Twitter, Elon Musk Responds with Threat

It's almost impossible to not hear through the grapevine about all the happenings on Twitter. Since everyday social media users have caught wind of it, surely the people who pay Twitter for advertising have too.

According to Gizmodo, big names have been cutting ties with the social media platform. It does not bode well for Twitter, especially since the company has been scrambling for ways to earn more, not less.

Advertisers That Bid Adieu

• General Motors

GM did not cut ties permanently, but they are pausing its ads on Twitter, as reports said. The competitor to Tesla stopped its ads before Tesla's CEO purchased Twitter.

GM's statement said that it was a normal course of business when a media platform undergoes significant change. Analysis states that GM spends an average of $1.7 million per month on Twitter ads, which is a big chunk.

• Pfizer

Pharmaceutical ads are big in America, but it seems that Pfizer won't be doing it much on Twitter. Just last week, the company paused its advertising as well.

It's still not announced whether they would return, or why exactly they paused their advertising.

• Mondelez

Mondelez is not exactly a name that rings a bell among consumers, but the company has products that you have surely heard of.

This includes Oreos, Cadbury Eggs, and Trident Gum. The company is reported to be one of Twitter's five biggest advertisers, and the effect of them pausing their ads will surely be felt.

• REI

The company selling recreational equipment not only stopped their ads, but will take a break from tweeting as well. REI told the New York Times that Twitter's ability to moderate harmful content and guarantee brand safety, had an "uncertain future."

• General Mills

A spokesperson of the company said that they will be monitoring the new direction, pertaining to Musk's takeover, and evaluate their marketing spend.

The company is responsible for popular brands like Cheerios, Gold Medal Flower, Häagen-Dazs, and Count Chocula.

• Audi

The Volkswagen Group has Audi, Bentley, Lamborghini, Porche, and Volkswagen under its belt. It just recommended the following subsidiaries to pause their advertising.

So far, Audi is the only one that followed the recommendation.

• IPG

The company is among the biggest advertising firms globally. They represent brands like American Express, CVS Pharmacies, Johnson & Johnson, and Spotify.

On the 1st of November, they advised their clients to stop Twitter ads temporarily. Since they are an advertising firm, its clients are likely to follow that advice.

Elon Musk's Response

It seems counterproductive to threaten clients to get them to stay, but Musk decided to go with that. In a tweet, he stated that there has been a huge drop in revenue, blaming it on activists pressuring advertisers. He then added that they were trying to destroy free speech in America, as mentioned in Opindia.

Mike Davis, former Chief Counsel for Nominations at the U.S. Senate Committee on the Judiciary, quoted Musk. He urged the tech mogul to "name and shame" the advertisers who are succumbing to advertiser boycotts, as he has 114M followers who would see it.

Elon Musk responded by saying that "thermonuclear name and shame is exactly what will happen" should the advertiser exodus continue.