General Motors Suspends Advertising On Twitter

in LeoFinance7 months ago

Some times the irony is just too much.

General Motors announced they have suspended advertising on Twitter after Elon Musk (and his sink) took over Twitter. This is rather interesting consider the latter is a major competitor of the former in the automotive industry.

Here is what came out of the company:

“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,” the company said in an emailed statement.


Perhaps this could be something that is signficant. Honestly, without knowing what GM's policies are regarding social media and changes, it is hard to know if they are in congruence. Nevertheless, it isn't as if Home Depot made this decision.

Will other automobile manufacturers follow suit?


Jeff Kowalsky | AFP | Getty Images

Giving Musk Money

Some might be tempted to think that these companies simply do not want to give Musk money. After all, why enrich the competition.

Of course, if we take a step back, that is what the legacy automakers were doing for years. The tax credits that allowed Tesla to rake in billions from these companies helped to fund the new factories. Effectively, legacy auto was financing their own demise.

Certainly, a case could be made that enough is enough. Do they really need to advertise on Twitter? I have no idea of the effectiveness of the platform in terms of ad dollars. It could be a powerful platform to promote products on. Then again, it might be a way companies toss money around to try to create some awareness without much bang.

In fact, some assert that the more EV advertising legacy does, the more it helps Tesla. Since there is a constrain on the numbers of EVs available, people appear to have gravited towards Tesla. That is the line of thinking according to some.

Another Platform To Incorporate

The acquisition of Twitter did not appear to make much sense on the surface. However, since Musk revealed the "Everything App", it does become a bit clearer.

To start, it is likely that he can quickly change the profit equation through layoffs. It is becoming clear that there was a lot of waste at Twitter with the payroll. Simply put, they were not filled with workers. The culture was one of a summer camp and not a business. It is evident why they did not make money.

Musk will clean up the culture within a month or two. He is not one who tolerates letharic activity or attitudes. Everyone can be he will be there for more than 100 hours per week to start.

There is also the cross pollination that we are already seeing. We can bet that Twitter will suddenly have access to some of the brightest developers in the world. Both SpaceX and Tesla are known for their engineering abilities. In fact, Tesla navigated a large part of the chip shortage by rewritting the code for their cars.

It is safe to say that Twitter is now able to tap into a much deeper talent pool.

What this is doing is expanding the influence of Musk. Also, if profitable, it will also start to drive even more money his way. He already proved he is not about to spend it on Yachts and mansions. Whatever he gets will be used to leverage positions for something greater.

He could end up feeding money back into his existing operations.

Tesla is a car company. Twitter is a microblogging platform. SpaceX is a rocket company.

Repeatedly we see people trying to categorize Musk and what he is doing. While there is a degree of truth to the assessment, it tends to not pick up the entire picture.

It will be interesting to see how things unfold with Twitter. However, the time to doubt Musk is over. He has repeatedly proven that he has a way of getting things done. Sure, it is not on the time scale he states. That said, he eventually does get there.

Mary Barra over at General Motors as acting like she has some power. The reality is she is on a sinking ship.

Musk is outpacing near everyone.

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Is GM against the First Amendment? 😉

You are right about not wanting to pay the competitor.

Optically without much explanation it doesn’t look good.

GM can become a formidable player in the EV market as overtime technological advantage tend to diminish, unless there is a breakthrough in battery technology.

The first amendment actually applies to Congress. That is what most people get wrong.

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Am just wondering if all these won't lead to the birth of a new twitter alternative backed by competitors and the mainstream media

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It is an interesting question.

The challenge is that it appears projects that catered to the far left tend to fail. They simply have not been commercially viable in the long run.

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They're go crazy because Tesla is beating them in everything. They no longer know what to do. Elon has no mercy on his competitors, he will not stop for a few less ads.

I agree. The gap between Tesla and GM is enormous.

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Likely just posturing.

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It won't shock me if I get to hear Elon bought Mars too. He is a good business man but I hope everything still goes on smoothly. Sometime ago , I heard he sells perfumes. Thanks for sharing

In that situation, forget Elon. I want to learn from the person who sold it to him.

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Interesting action. It may be as simple and straightforward as you say.

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I think it's a dumb idea but I think it's to pressure Elon. However, I think they should just stop accepting it because they will have to come back anyway when it helps them financial due to fewer views.

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As much as I don’t enjoy some of his ideas (brain chips) Musk is a disruptive force for sure. I think that’s good and it’s certainly a big impact on the woke bullshit culture that’s had such a strong grip on tech platforms of recent times. It’s refreshing to see but hopefully it doesn’t turn out bad.

At the same time, I think GM is trying to take a page out of the woke playbook bullshit and cancelled advertising. It has changed my view of the company for sure and will be even less likely to buy one of their vehicles in the future. I do like their trucks but fuck that.

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Hard to tell what GM is doing. They are so dependent upon the government now that it is sickening. Barra is going to drive the company into bankruptcy.

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Bang, I did it again... I just rehived your post!
Week 129 of my contest just can now check the winners of the previous week!

All I got to say is boycott General Motors.