The advertising world is at odds over whether to invest in Elon Musk’s X, with some ad agency executives and consultants advising clients to spend on the platform despite growing concerns about its impact on their business. Industry insiders say that advertisers are seeking to avoid political risks and potential regulatory scrutiny by committing to X.
Forrester recently published a blog post recommending advertisers spend more money on X to “avoid repercussions” in the current polarized environment. However, some ad industry veterans express discomfort with the idea of investing in X, citing concerns about its impact on their business and potential backlash from regulators.
The issue stems from Musk’s involvement in Donald Trump’s White House, as well as his past actions against advertisers who pulled away from the platform due to brand safety and ad performance issues. Advertisers have been increasingly using X as a hedge against political risk, but the platform still faces significant challenges, including improving its technology and scaling up to compete with established players like Meta and Google.
As a result, many top media buyers are being forced to make tough decisions about where to allocate their advertising budgets. Some say that X is becoming a safe haven for advertisers due to Musk’s efforts to communicate the platform’s value as a neutral space for advertising.
Despite these claims, some industry experts argue that advertisers are simply trying to hedge against potential risks, rather than making informed investment decisions based on the platform’s actual performance. The issue highlights the increasingly complex and politicized landscape of the advertising industry, where marketers must navigate multiple factors to make informed decisions about their spending priorities.
Source: https://www.businessinsider.com/ad-insiders-advise-to-spend-x-avoid-political-legal-pain-2025-3