X’s Ad Revenue Shrunk in Q2 2025

Core Insights - X is struggling to maintain revenue growth despite initial increases in ad spending following the U.S. election [2][3] - The platform's revenue for Q2 2025 was approximately $707 million, reflecting a 2.2% decline from Q1 2025 but a 20% increase compared to 2024 [2] - Overall revenue has been on a downward trend since Elon Musk's acquisition, with total revenue dropping from $4.4 billion in 2022 to an estimated $2.6 billion in 2024 [3][4] Revenue Performance - X's revenue is projected to reach around $2.9 billion in 2025, aided by expanded subscription and promotion packages [4] - The platform is burdened with annual debt servicing costs of approximately $1.2 billion, limiting its financial stability [5] Future Projections - Musk's initial revenue forecast for X was $26.4 billion by 2028, which appears increasingly unrealistic given current performance [5] - The X Premium subscription service is generating an estimated $200 million annually, but has not significantly reduced reliance on advertising revenue [6] - The anticipated "X Money" initiative is still pending regulatory approvals, delaying its rollout [6]