It was an $8 subscription that cost Twitter millions. As reported by Washington Post, the pharmaceutical giant Eli Lilly has stopped all its ads on the social network. A considerable economic loss for Twitter, already in great financial difficulty, now deprived of the resources of one of the largest advertisers in the health sector.
influx of false information
On November 10, the identity of the pharmaceutical group was faked by a fake account, but accompanied by a blue certification badge. A misleading tweet from this account read: “we are delighted to announce that insulin is now free.” In connection with one of the lab’s main markets, the fraud was followed by a drop in Eli Lilly’s stock price.
Such an operation was possible thanks to the decision of Elon Musk, the new head of Twitter, to offer this famous blue badge to any Internet user by paying the sum of 8 dollars, without even having to verify their identity as was the case up to now. . And this despite the warnings from his teams about this initiative. An option finally suspended, after the influx of false information on the platform.
By the time Twitter removed the tweet more than six hours later, the account had already been viewed millions of times. Other companies like Tesla have also had their accounts seized. As a result, Eli Lilly executives ordered a halt to all Twitter ad campaigns for all company accounts worldwide.
Advertiser Leak
Other companies have followed suit. GroupM is one of the largest advertising companies in the world, working with Google, L’Oréal, Bayer, Nestlé and Unilever. According to US media platforms Y digiday The company reportedly told customers that buying ads on the platform is now “high risk.” Other groups like IPG and Omnicom Media have followed suit.
According to digiday, GroupM is demanding safeguards from Twitter, including new privacy and IT security frameworks, as well as a commitment to content moderation. And this while Elon Musk has fired half of Twitter’s employees.
The fact that advertisers like Eli Lilly are pulling out is an economic blow to Twitter. Elon Musk has declared that Twitter loses about $4 million per day. He also borrowed the social network to buy it. If the businessman opted for this $8 subscription to rescue the coffers, the uncertainty it generates could end up being much more expensive.
Source: BFM TV
