Ad agencies and consultants report advising clients to advertise on Elon Musk’s X platform to mitigate political and legal risks. Industry insiders view spending on X as a form of insurance against boycotts, lawsuits, or regulatory scrutiny. Forrester analysts recommended gradual ad spending increases on X if specific goals are met, calling it a necessity in the current political climate. Concerns about political reprisals grew after reports that X’s CEO reminded IPG of potential regulatory hurdles to its merger with Omnicom. While X has attracted advertisers, its long-term success remains uncertain, with estimated ad revenue projected to decline. Some advertisers see improved adtech and undervalued inventory as positives. Legal disputes persist, including X’s lawsuit against advertisers accused of conspiring to boycott the platform. Marketers remain cautious amid ongoing investigations and Musk’s political influence. — news fromBusiness Insider
