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Elon Musk, the owner of Twitter, announced that the platform will soon start compensating verified creators for ads appearing in their replies.
The initial payment block is estimated to be around $5 million. Musk emphasized that only verified users will receive ads and generate earnings from them.
Since Musk’s acquisition of Twitter last October, the platform has faced challenges in retaining advertisers due to concerns about ad placement following significant employee layoffs.
In a few weeks, X/Twitter will start paying creators for ads served in their replies. First block payment totals $5M.
Note, the creator must be verified and only ads served to verified users count.
— Elon Musk (@elonmusk) June 9, 2023
This development coincides with the appointment of Linda Yaccarino, an advertising expert from NBCUniversal, as Twitter’s new CEO, so there is a substantial chance this model to generate revenues was directly influenced by the new executive head of the company.
In a previous statement, Musk mentioned that Twitter currently earns approximately 5 or 6 cents per hour of user attention and aims to increase this amount to 15 cents or more by implementing more relevant and timely advertisements.
Twitter’s advertising business provides the main direct revenue stream for the company, and Musk seeks to revitalize this income stream after it strongly declined since he took over the company.
Written by Alius Noreika
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