Are you hungover? We’re hungover.
Donald Trump has won the 2024 Presidential Election. He is now President-Elect Trump. Writing that feels surreal. Today on AdTechRadar, we’re diving into what his win could mean for the adtech industry.
First, let’s talk about X. Elon Musk, the platform’s owner, invested substantial resources into Trump’s campaign—not just millions of dollars, but his time and “brand.” He was even with Trump last night.
With Trump back in office come January, Musk will have more than just a seat at the table. He’ll essentially have a presence in the Oval Office, which could reshape X as an advertising platform.
Why This Matters:
Is X still not brand safe?
X has faced major brand safety issues ever since Musk took over, resulting in a 50% drop in ad revenue. Under his rule, the platform’s relaxed content moderation policies have continued to raise concerns with top advertisers who understandably don’t want to appear next to hate speech or misinformation. Despite (varied) efforts to address these issues, X has struggled to regain advertiser trust. In fact, they’ve resorted to lawsuits and threats of government investigations.
Complicating matters, Musk himself has become a walking, talking brand safety risk. He frequently shares misinformation and makes controversial statements, many of which are seen as racist, anti-LGBTQ, or just plain creepy.
For brands, the question now is: with Musk’s influence stronger than ever, how do you avoid running ads on X? If the American people voted for Trump, they voted for Musk, no? How is he then “not brand safe”? This is tough to reconcile. As a platform, X is also now poised to play an even larger role in shaping the political agenda, with Musk’s posts potentially reflecting or foreshadowing the administration’s stance on regulations.
Additionally, with a rightward shift in government, brands may feel greater pressure to avoid “blocking” ads from conservative-leaning media and platforms. They will be wary of potential investigations or backlash. Can you blame them?
The net of this is, brands that previously distanced themselves from X are likely to now reconsider. This will give the platform’s ad revenue a new lease of life and potentially reshape the broader walled garden ad market.
Experts React:
Our Take:
Musk won. He seems to win a lot and that won’t stop under a second Trump term. It will only help him, Linda Yaccarino, and X.
