Elon Musk’s company, X, grapples with a growing turmoil as resignations surge and advertisers express disapproval following Musk’s contentious comments.
Musk finds himself amidst several challenges in maintaining the smooth operation of X. Criticism from advertisers has intensified due to his critical remarks and recent statements about an antisemitic conspiracy theory. Reports suggest that the company is now witnessing a wave of resignations from both senior and junior employees.
According to Claire Atkinson’s report, Musk’s leadership at X, previously Twitter, has been turbulent lately, marked by numerous resignations, particularly from the sales staff, despite recent bonus payments. This wave of departures casts uncertainty on the platform’s future.
Atkinson’s report highlights a skeletal workforce at X’s office, with the advertising division suffering financial setbacks. The series of layoffs post-Twitter acquisition, followed by mass resignations in 2023, raise concerns about the company’s revenue stability and its ability to attract new advertisers.
This upheaval reflects the impact of Musk’s controversial decisions, drawing both staunch support and fierce criticism. X already faced significant backlash from major advertisers like Apple and Disney.
Recently, Musk received severe criticism after supporting a user’s false claims about a Jewish conspiracy theory. His subsequent apology was seen as an attempt to mitigate the situation, calling his comments a “loaded gun” to his critics.
During a conversation with The New York Times at the DealBook Summit, Musk addressed advertisers who suspended ads on X, labeling them as blackmailers. He urged those uncomfortable with the platform’s content to refrain from advertising, using strong language to express his stance.
Despite acknowledging the potential impact of an advertising boycott on X’s survival, Musk firmly put the blame on withdrawing advertisers, emphasizing that they would be responsible if the platform failed.
Disney CEO Bob Iger expressed concerns about their association with Musk’s X, stating that Musk’s public positions were not aligning positively with Disney’s image.