The backlash started after Musk was accused of being antisemitic in response to an Tweet which criticized Western Jewish communities. He has vehemently denied accusations of antisemitism. He went as in the direction of suing Media Matters, a left-leaning surveillance agency.

As advertisers started pulling their spending, Musk lost his cool in an interview with the New York Times DealBook Summit interview. The CEO of Tesla said, "If somebody's gonna try to blackmail me by using ads and money, why not blackmail me? Do it yourself."

Linda Yaccarino, the social media company's CEO, is under pressure. In a post on X on Wednesday she said: "And here's my perspective regarding advertisements: X is standing at an amazing and unique connection between Free Speech and Main Street as well as the X community is mighty and is here to welcome you. To our partners who believe in our meaningful work -- Thank you."

X has become unpopular with advertisers

Speaking to Reuters, Felipe Thomaz, associate professor of marketing at the University of Oxford said "Brands are aware of these choices and any brand-safety concerns will be met with an re-allocation of money away from platforms that are in trouble."

The entrepreneurial owner of X apologized for any alleged antisemitism. however, these new studies suggest that advertisers are not likely not to provide him with the benefit the doubt.

Robert Iger, CEO of Disney has stated at the same conference that an ongoing connection among Disney and X "was certainly not a favorable relationship for our company."

Lou Paskalis, founder of marketing firm AJL Advisory, said that Musk's outburst was the "closing page" for a variety of brands and their advertising on X. "They're not likely to forget it," he stated.