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Saturday, Jul 05, 2025

Twitter in Crisis: Elon Musk's 'Rate Limit' Sparking Exodus of Advertisers and Site Turmoil

Twitter in Crisis: Elon Musk's 'Rate Limit' Sparking Exodus of Advertisers and Site Turmoil

Elon Musk has imposed a strict "rate limit" on all Twitter users, allowing them to view only a certain number of tweets before being prevented from interacting with the site.
The move was not announced to staff, leaving workers scrambling over the holiday weekend.

There has been almost no communication about the change and why it is happening from top management.

Many engineers must work through the holiday weekend to combat various problems created by the new rate limits and fix "bad code." Twitter has a "skeleton crew" of engineers, and the changes made by Musk have degraded the Twitter experience for hundreds of millions of monthly users and further imperiled its core advertising business.

Twitter's ad business could be negatively impacted by Elon Musk's actions on the platform, as he has already caused a mass exodus of advertisers.

The site's ability to charge for ads relies on how many people will see an advertiser's content, and putting a cap on how much content users can see could limit the number of people who see Twitter's ads.

The CEO, Jack Dorsey, has been unable to rein in Musk's actions, and the situation has led to uncertainty among advertisers.

The hiring of Debra Adams Riedy as the head of global sales to stabilize operations and bring ad clients back into the fold has not been successful, and advertisers are losing trust in Twitter.
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