Social network X, formerly known as Twitter, was projected to generate roughly $2.5 billion in advertising revenue by the close of 2023, a figure that falls sharply short of the prior year’s performance. This projection reflects a notable deceleration in ad sales compared with the previous year and comes from industry intelligence cited by Bloomberg, referencing unnamed sources familiar with the matter.
Analysis shows that the platform brought in about $4 billion from advertising during the calendar year 2022. In 2023, however, the same revenue stream is expected to fall by more than a third, according to the same reporting. The trend points to a material shift in how brands are allocating budgets across social channels, with X losing some momentum in its core advertising business.
Early in 2023, the publication notes, X reported advertising revenue of just over $600 million in each of the three quarters completed thus far. Projections for the current quarter suggest a continuation of those patterns. For context, the company previously surpassed the $1 billion mark in quarterly ad revenue in 2022, marking a stark contrast to the more modest quarterly figures seen in the recent year.
Industry observers identify advertising as the platform’s main revenue driver, accounting for a substantial majority of its total earnings. The reporting indicates that ads have historically comprised approximately 70 to 75 percent of X’s overall revenue, underscoring the central role of brand advertising in the platform’s financial mix and its potential vulnerability to shifts in advertiser sentiment.
In late November, a major U.S. newspaper described material risk for X, citing concerns about the platform’s business prospects following public remarks attributed to its owner. Reports indicate that some advertisers chose not to renew contracts after statements perceived as inflammatory, reflecting cautious brand management decisions amid evolving public discourse. The cited internal document and subsequent coverage highlighted how advertiser hesitation can influence the platform’s ability to sustain revenue growth during sensitive periods.
Public figures and policymakers have also weighed in on X’s trajectory. A prominent former city leader drew a sharp comparison, describing the platform in strongly critical terms that reflect broader debates about content moderation, societal impact, and platform responsibility. The discussion underscores how reputational factors can intersect with commercial performance in the social media landscape, influencing advertiser confidence and user engagement alike.