It appears the $44 billion acquisition total of Twitter by Tesla’s CEO, Elon Musk may have it’s own ripple effect on collaborations with other established brands as US-based automotive manufacturer, General Motors has announced the temporal pause of paid advertisement on the social media giant.
Amid concerns over the policy direction of the popular micro blogging giant, especially with the sack of it’s top executives by Musk, a number of global brands may be having apprehension over the drift of the company in policies.
While reacting to Musk’s takeover of Twitter, GM Motors in a statement said:
“We are engaging with Twitter to understand the direction of the platform under their new ownership”
“As is normal course of business with a significant change in a media platform, we have temporarily paused our paid advertising. Our customer care interactions on Twitter will continue.”
General Motors, a rival to Musk’s EV company, Tesla in the car making business is reported to have dedicated a substantial budget to paid advertising on Twitter and with it’s takeover by it’s rival, the company will now be wary of monopolistic decisions against it by Musk.
A large chunk of established automakers like Ford, Stellantis, Porsche, VW, Volvo and GM have a social media presence on Twitter with a couple of then running paid advertising.
But the new change in leadership on the social media site may spike fears over the method of operation as it affects their interests, an uncertainty Musk was quick to address when he Tweeted on his personal account his intended approach to running the company.
“There has been much speculation about why I bought Twitter and what I think about advertising,” Musk wrote. “Most of it has been wrong.” He went on to write that he believes Twitter has the potential to be a “common digital town square,” and that the platform cannot be “a free-for-all hellscape.”
Will Musk’s assurance be enough for GM as they pull the plug on paid advertising for the main time?
Events in the coming days will decide.