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Elon Musk announced that X will transition to charging advertisers based on vertical screen size, marking a significant shift in the platform’s revenue strategy as the company works to restore advertising income to pre-acquisition levels.
The billionaire wrote on X that the platform “is moving to charging for ads based on vertical size, so an ad that takes up the whole screen would cost more than an ad that takes up 1/4 of the screen, otherwise the incentive is to create giant ads that impair the user experience.”
This pricing adjustment comes as X continues its broader transformation into an “everything app” under Musk’s leadership. The platform recently secured money transmitter licenses across 40 states and Washington D.C., positioning itself to compete with financial services companies through its upcoming X Money service.
X CEO Linda Yaccarino has been working alongside Musk to restore advertising revenues to 2022 levels following the platform’s $44 billion acquisition. Emarketer data shows X’s revenue rising to $2.3 billion this year from $1.9 billion previously, though the company faces ongoing challenges with advertiser relations.
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