Companies retreating from advertising on Twitter, impact of Elon Musk’s takeover

The number of companies stopping advertising on micro blogging site Twitter is increasing. Automobile company Stellantis has also informed about stopping all advertisements on Twitter. Stellantis says she’s looking forward to seeing how the platform changes under Twitter’s new owner.

“We are pausing ads until there is clarity regarding the future of Twitter under new leadership,” Stellantis, formed by the merger of Fiat Chrysler and PSA, told Reuters. Musk has said that since he gained control of Twitter, there has been a big decline in the company’s revenue. Earlier, General Motors, luxury car maker Audi of America and United Airlines had announced to stop advertising on Twitter. Volkswagen, one of the big automobile companies, had told last week that Musk Twitter After purchasing it, it has asked its brands to stop advertising on this platform.

“We are monitoring the situation and will decide on next steps as it changes,” Volkswagen said in a statement. Volkswagen Group owns popular brands like VW, Seat, Cupra, Audi, Lamborghini, Bentley, Ducati and Porsche. Earlier, other companies including General Motors had also made similar comments regarding Twitter.

Elon Musk, chief of American electric car maker Tesla, has initiated major changes in the company after purchasing Twitter for about $44 billion. He has laid off a large number of staff in the company. Twitter has released an update to its iOS app which also introduces a new Twitter Blue subscription with some changes. Musk has been promoting this subscription through his tweets. Twitter Blue subscribers will automatically get a blue checkmark on their profile, which was previously only given to verified accounts of corporates, celebrities and well-known individuals. For Blue Tick, Twitter users will have to pay $7.99 per month instead of $4.99 in the US. Musk has indicated that it will be increased according to the purchasing power of people in other countries.

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