Following the acquisition of Twitter by Elon Musk, many companies have paused or stopped their advertising campaigns. A report from Media Matters for America said that over half of Twitter’s top 100 advertisers are no longer advertising on the platform.
In September, Twitter promoted ads alongside child pornography. Some of the brands called Twitter out on this and either paused or suspended their ad campaigns.
Some advertisers that were not affected by Twitter’s accidental promotion of ads with child pornography continued to advertise with the platform. And some of these brands who did so paused their campaigns when Elon Musk took over.
A key issue is that in the past, Twitter has been lenient toward child predators, yet advertisers have been advertising with the platform for many years.
It wasn’t until Elon Musk bought the platform that Twitter made removing child sexual exploitation material priority number one. Some of these advertisers are only now pausing or suspending their ad campaigns after Elon Musk took over.
Removing child exploitation is priority #1. Please reply in comments if you see anything that Twitter needs to address.
— Elon Musk (@elonmusk) November 24, 2022
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A Twitter spokesperson said that the platform “has zero tolerance for child sexual exploitation,” but there is a case where the platform refused to remove videos of two children being abused, and it took the U.S. Department of Homeland Security to step in for Twitter to remove the content.
The Media Matters report stated that Elon Musk “has continued his rash of brand unsafe actions — including amplifying conspiracy theories, unilaterally reinstating banned accounts such as that of former President Donald Trump, courting and engaging with far-right accounts, and instituting a haphazard verification scheme that allowed extremists and scammers to purchase a blue check. This last move, in particular, opened the platform up to various fraud and brand imitations.”
There was no mention of Twitter’s new priority number one, which is the removal of child pornography from its platform. Additionally, many of these brands continued to advertise while Trump was president and active on the platform.
Comparison.
The two following lists show companies that stopped advertising when Elon Musk took over and companies whose ads were published alongside explicit and illegal content.
Companies That Stopped Publishing Ads When Elon Musk Bought Twitter:
- Abbott Laboratories
- Allstate Corporation
- AMC Networks
- American Express Company
- AT&T
- Big Heart Petcare
- BlackRock, Inc.
- BlueTriton Brands, Inc.
- Boston Beer Company
- CA Lottery (California State Lottery)
- CenturyLink (Lumen Technologies, Inc.)
- Chanel
- Chevrolet
- Chipotle Mexican Grill, Inc.
- Citigroup, Inc.
- CNN
- Dell
- Diageo
- DirecTV
- Discover Financial Services
- Fidelity
- First National Realty Partners
- Ford
- Heineken N.V.
- Hewlett-Packard (HP)
- Hilton Worldwide
- Inspire Brands, Inc.
- Jeep
- Kellogg Company
- Kohl’s Department Stores, Inc.
- Kyndryl
- LinkedIn Corporation
- MailChimp (The Rocket Science Group)
- Marriott International, Inc.
- Mars Petcare
- Mars, Incorporated
- Merck & Co. (Merck Sharp & Dohme MSD)*
- Meta Platforms, Inc. (formerly Facebook, Inc.)
- MoneyWise (Wise Publishing, Inc.)
- Nestle
- Novartis AG
- Pernod Ricard
- PlayPass
- The Coca-Cola Company
- The Kraft Heinz Company
- Tire Rack
- Verizon
- Wells Fargo
- Whole Foods Market IP
- Yum! Brands
Brands whose ads Twitter promoted alongside CSE Content.
There were over 30 brands affected, and the following list is just some of the brands that were reported to be affected.
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- Dyson
- Mazda
- Forbes
- Walt Disney
- NBC Universal
- Coca-Cola
- Cole Haan
- a children’s hospital
- PBS Kids
A spokesperson for both Disney and Coca-Cola spoke out against Twitter promoting their ads alongside the CSE content, yet NBCUniversal confirmed that it asked Twitter to remove the ads associated with the content.
David Maddocks, brand president at Cole Haan, told Reuters that either Twitter fixes this or Cole Haan would do so, including by not buying Twitter ads. Mazda USA also said it would be prohibiting its ads from appearing on Twitter profile pages.
Although a handful of brands were upset over Twitter’s promoting ads along CSE, many of those brands that quit Twitter following Elon Musk’s acquisition were advertising up until recently. This includes both brands who had their content promoted alongside child pornography as well as those who didn’t.
For all of these brands who continued to advertise despite Twitter’s problem with CSE, the question remains: is advertising with Elon Musk worse than alongside the exploitation of children?
This is a question Eliza Bleu had for General Motors when the automaker first suspended its campaign after Elon Musk’s acquisition of the platform. Bleu is one of Twitter’s toughest critics who, up until recently, Twitter ignored. Elon Musk agrees with Bleu that CSE should be removed from the platform and has made it priority number one.
I would like to know too
— Elon Musk (@elonmusk) November 23, 2022
“Twitter has a long history of knowingly refusing to remove child sexual abuse material at scale. This issue has been covered by the corporate media and called out by governments around the globe.”
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“Over 32 brands removed ads from Twitter when the Reuters pieces came out in September of this year because of child sexual abuse material on Twitter. I think that General Motors’ lack of concern over sexually abused children says a lot. Survivors buy cars too. There are more survivors out there than these brands might think,” Bleu told Teslarati in October.
Bleu told Teslarati on Sunday that these brands only care about the world’s most vulnerable when it is politically advantageous.
“Where was the outrage, pearl-clutching, and solidarity for the minor survivors sexually exploited on Twitter over the past 10+ years?”
“These brands only care about the world’s most vulnerable when it’s politically advantageous. They only care about the vulnerable populations who buy products, vote, and have money. It’s manipulative and gaslighting.”
“Thank you to the brands who took a stand against Twitter in September over this very real crime. My hope is that under the new leadership, the platform will continue to prioritize the removal of child sexual exploitation, and the brands that left in September can return knowing that specific issue will not negatively impact their brand as well as children around the globe.”
The question remains: Which is worse for Twitter advertisers: child sexual exploitation or Elon Musk?
Your feedback is welcome. If you have any comments or concerns or see a typo, you can email me at johnna@teslarati.com. You can also reach me on Twitter at @JohnnaCrider1.
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Investor's Corner
SpaceX and Nvidia team up on Musk’s orbital AI bet
SpaceX revealed a new Nvidia satellite partnership, then Musk pledged an exclusive Nvidia hardware commitment.
SpaceX and Nvidia are now working together on the hardware that will power Musk’s orbital data center ambitions. SpaceX announced on X on Tuesday that it is partnering with Nvidia to design the compute payload for Starmind AI1, the first satellite in a planned constellation built to run AI workloads directly in orbit. Each Starmind satellite will carry Nvidia’s Rubin GPUs and Vera CPUs, according to the post, which included renderings of the payload design.
The announcement landed hours before SpaceX’s first earnings call as a public company, where Musk went further, saying the company has committed to building its AI infrastructure exclusively on Nvidia hardware. “We think the Vera Rubin architecture is the best architecture. We think it’s the best AI computer, and we greatly value our close cooperation and partnership on many levels with Nvidia,” Musk told investors on the call,. “So we’re exclusive to Nvidia.”
Musk said SpaceX plans to deploy Nvidia’s Vera Rubin NVL72 rackscale system, codenamed Kyber, both on the ground and in space. He set a target of 2 gigawatts of compute capacity online by the end of this year, scaling to roughly 10 gigawatts by the end of 2027.
SpaceX’s newest Starmind will make earth data centers obsolete
Starmind has been in development since Musk confirmed the name in June, following an xAI trademark filing that tipped off the project before SpaceX made it official. The idea is massive in scope and instead of moving data down to ground based servers, satellites equipped with onboard processors and large solar arrays would compute AI workloads in orbit and beam results back to Earth. SpaceX has already filed with the FCC for a constellation of up to one million satellites to support the effort, citing constant solar power and the absence of zoning restrictions as advantages over terrestrial data centers.
The Nvidia exclusivity marks a shift in tone from just two weeks ago, when Musk was busy knocking down a report that SpaceX had ordered $52 billion worth of Nvidia GPUs through Foxconn, calling it fake news at the time. The dollar figure in that rumor may have been wrong, but the underlying direction seems correct. SpaceX’s AI division already leases Colossus compute capacity to Anthropic and Google, and Tuesday’s earnings report showed AI revenue climbing sharply as those deals ramp up.
Nvidia shares rose roughly 3% in Tuesday trading on the news, while SpaceX stock climbed nearly 9% during the day before giving back gains after hours as investors digested the earnings report’s capital spending figures.
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SpaceX (NASDAQ: SPCX) reported a beat in revenues and EBITDA in its first earnings call report while also minimizing losses as its business continues to gain momentum.
After its IPO in July, SpaceX saw some tough losses on Wall Street due to a major selloff after a delay in its 13th Starship test flight. The ship launched later that week and completed what was arguably the most successful IFT operation in the Starship program’s history.
Nevertheless, the company is continuing on and reported some encouraging financials while also promoting what appears to be a robust outlook moving forward in its Space, AI, and Connectivity divisions.
SpaceX to report first-ever earnings today: here’s what to expect
Earnings Results
- Revenues: $7.8 billion reported vs. $6.7 billion expected
- Adjusted EBITDA: $3.5 billion vs. $2 billion expected
- Net loss of $541 million, an improvement of $467 million from net loss of $1.0 billion
Additionally, CFO Bret Johnsen had these comments:
“2026 has been a momentous year so far, and the second quarter demonstrated the true power of SpaceX. Revenue growth accelerated across all our business segments and we delivered strong operating leverage, with significant margin expansion led by our new AI compute agreements. Our unparalleled leadership in launch, Starlink subscriber growth, new enterprise and government partnerships, and best-in-class AI infrastructure underscore our ability to drive meaningful scale and deliver attractive returns. As a newly public company, we are delighted to welcome our broad base of shareholders and bondholders. We ended the second quarter with $100 billion of cash, cash equivalents, and marketable securities, and $47.5 billion in backlog. This financial strength gives us substantial capacity to invest in Starship, Starlink Broadband and Mobile satellites, and our AI platform, while maintaining a disciplined long-term capital allocation framework.”
Space Business Highlights
SpaceX shared some of its biggest Space Business Highlights for Q2:
- Space revenues grew 55% sequentially and 29% year-over-year to $962 million, driven by a higher number of large customer launches and a favorable customer shift compared to the prior year
- Total costs and expenses for the Space segment were up by $389 million year-over-year, as we continued to accelerate R&D investments in our Starship program, which we believe will reduce the cost to orbit by 99% or more relative to the historical average, and unlock significant revenue potential across all business segments
- Leading launch provider for the world with 78 launches and 1,041 metric tons of mass to orbit deployed over the six months ended June 30, 2026, primarily allocated to Connectivity for the deployment of our Starlink constellation
- Starship V3 development continued to advance towards full and rapid reusability:
- Completed Starship V3’s first suborbital mission in May, Flight 12, which achieved a successful lift off from our new Starbase pad, a precision landing of Starship’s upper stage, and deployment of modified V2 Starlink satellites
- Subsequent to the second quarter, completed Starship Flight 13 in July, which achieved all flight objectives including deploying 20 production V3 satellites, demonstrating in-space relight of a Raptor engine, and executing the softest ever splashdown of Starship, providing critical views of an intact heatshield
SpaceX will report its earnings today at 4:30 P.M. EDT.
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Elon Musk issued a second pointed warning to SpaceX short sellers on Tuesday, just hours before the company was set to release its first quarterly earnings as a publicly traded firm. Responding to a report highlighting elevated short interest, Musk wrote on X: “I try to warn them, but they just double down …”
The comment came as data from S3 Partners showed roughly 95 percent of available SPCX shares to borrow were on loan, translating to about 34 percent short interest as a percentage of the float. The stock has traded under pressure since its record-breaking IPO in June 2026, declining significantly from early peaks.
I try to warn them, but they just double down … 🤷♂️
— Elon Musk (@elonmusk) August 4, 2026
This marks the second such message from Musk in under three weeks.
On July 17, amid post-IPO volatility, he stated: “The survival probability of firms who maintain a significant short position in SpaceX over time is very low.” At that time, SPCX had fallen roughly 30 percent from its peak above a $2.6 trillion valuation, with short sellers reportedly realizing gains of about $8.7 billion.
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Musk’s warning aligned with optimistic analyses projecting that Starship-driven cost reductions could enable a multi-trillion-dollar space economy through applications such as orbital solar power, asteroid mining, data centers, and Mars-related projects, positioning SpaceX as critical infrastructure.
SpaceX is scheduled to report second-quarter results after the market close later today, followed by a webcast. Analysts anticipate revenue near $6.9 billion, reflecting growth in Starlink, launch services, and AI-related segments. The earnings release precedes a major lockup expiration on August 6 that could free hundreds of millions of insider shares.
Musk has a long track record of confronting short sellers, particularly regarding Tesla, where he has argued that persistent bearish positions underestimate transformative technologies. Critics view his optimism as overly ambitious given near-term stock fluctuations, while supporters see temporary dips as opportunities in a longer-term expansion of the space economy.
As SpaceX opens its books to public scrutiny for the first time, the high short interest and Musk’s repeated cautions set the stage for heightened market attention on the results and management’s commentary.
SpaceX and Nvidia team up on Musk’s orbital AI bet
SpaceX reports beat in first earnings while minimizing losses
