SpaceX Disclosures Show X Ad Revenue Dropped to $367 Million

SpaceX reported $367 million in advertising revenue from its social media platform X for the second quarter, highlighting a prolonged decline in ad sales since Elon Musk bought the business in 2022.

The second-quarter ad figure reflects a modest sequential gain from $343 million in the first quarter, but marks a decline from $426 million reported in the same period last year. In the second quarter of 2022—the final period Twitter reported financial results prior to Musk’s $44 billion acquisition—the platform generated $1.08 billion in ad sales.

Addressing analysts during an hour-long call on Tuesday, SpaceX Chief Financial Officer Bret Johnsen attributed the sequential advertising growth to an “overhauled” ad tech platform. The remark was the sole mention of the advertising segment during the briefing.

Ad revenue now accounts for a minor portion of SpaceX’s consolidated financial results. Starlink generated $4.3 billion in quarterly revenue, while SpaceX’s artificial intelligence division brought in $2.2 billion, primarily driven by a partnership with Anthropic. The company’s space operations unit recorded $962 million in revenue over the period.

The financial disclosure offers a rare look at X’s performance following sweeping organizational changes under Musk, who eliminated thousands of jobs, engaged in legal disputes with advertisers who paused spending, and confronted reluctant ad buyers publicly. In January, X’s head of advertising told Digiday that “97 of the top 100 advertisers have returned, and in some cases spending even more than they did before Musk’s arrival.”

Musk has simultaneously pushed subscription tiers, including a Premium+ membership designed to remove advertisements from user feeds. SpaceX did not disclose subscription revenue or daily active user totals for X in its earnings report.