Why Walmart, Disney and other major brands no longer advertise on X


By - Che Browndon
Written-on - December 2 2023

Walmart

On Friday December 1st 2023, Walmart said it is scaling back/pausing on its advertisement on the the social media platform X making it another major brand pausing or outright stopping advertisement on the Platform.


Why?


The reason for this is because Walmart believes they’ve found better platforms to get to customers. “We aren’t advertising on X as we’ve found other platforms to better reach our customers”- A Walmart spokesman told Bloomberg News. Walmart is only the recent brand pulling out of X as several others have done so this past month.


Other brands dropping X


Recently, several brands have dropped X as an advertising medium. These include Disney, Apple, IBM, Warner Bros and others which will be highlighted in the conclusion. All have different reasons but there is one obvious cause which will be talked about below.


Disney's Reason For dropping X


Disney CEO(Bob Iger) a few days ago in a DealBook conference Q&A explained why his company pulled advertising on X. Iger spoke about how he has a lot of respect for Elon Musk and that Musk is larger than life in many aspects because his name is tied to companies he either founded or own. Iger went on saying the position Musk took in quite a public manner wasn’t a positive one hence why they decided to pull their advertising


The cause of the Issue


Since Elon Musk acquired the company in 2022, the platform has struggled to retain advertisers. One of the major reasons for this large-scale exodus from the platform was because of the rising concern about antisemitic content on the platform.

On November 15, 2023, Elon Musk agreed with an X user who claimed members of the Jewish community were stoking hatred against white people. Elon said this user was speaking the truth. Another reference the user made was that of “the Great Replacement” conspiracy theory which suggests people of the Jewish community and leftists are plotting an ethic and cultural replacement of white people with non-white immigrants.

Elon Musk later apologized for his post during an interview at a New York Times DealBook event. During this event, he dissed advertisers who fled his social media platform X over antisemitic content. Elon believes this is a form of blackmail. Since then several other big names have dropped the platform with some listed above. Walmart is currently the most recent.


EU


X is also facing a problem with the EU. Because of the Israel-Hamas conflict, there’s been a rise in antisemitic attacks in Europe particularly in countries like Germany, France and the UK. The EU believes the platform is promoting anti-Semitism hence the bad blood between Musk and leaders of the European Union.


Closure


The platform as of the moment is going through a brand boycott. All brands suspending ads on the platform include Apple, Disney, Paramount, Lionsgate, IBM, Comcast/NBC Universal, and The European Commission. Walmart is the most recent to join the long list and this is going to cause problems for the platform in the near future.


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