Latest / Elon Musk Podcast / Twitter/X and Mr.Beast under fire for not disclosing Video Advertising

Transcript

Twitter/X and Mr.Beast under fire for not disclosing Video Advertising · Elon Musk Podcast

• 0:01
  Hey everybody, welcome back to the Elon Musk Podcast.
• 0:05
  This is a show where we discuss the critical Crossroads, The
• 0:08
  Shape, SpaceX, Tesla X, The Boring Company, and Neuralink,
• 0:13
  and I'm your host, Will Walden. If you want uninterrupted
• 0:17
  episodes of the Elon Musk podcast, please go to
• 0:20
  clubelon.supercast.com to find out how there's a link in the
• 0:26
  show, notes. Mr. Beast, who's a massive
• 0:30
  YouTube, recently uploaded a video directly to X, Elon Musk's
• 0:33
  social media platform formerly known as Twitter.
• 0:36
  Now this is a huge move since Mr. Beast is primarily known for
• 0:39
  his YouTube presence. However, this upload has sparked
• 0:42
  controversy as users of X reported that Mister Beast video
• 0:45
  is appearing in their feeds as an unlabeled ad multiple times a
• 0:49
  day. Now this episode will unravel
• 0:52
  the layers of this issue and its implications for the platform
• 0:55
  and digital advertising norms. So users have noticed that
• 0:58
  Mister Beast's video lacks the typical indicators of an
• 1:01
  advertisement on X, such as the time stamp or a quote ad label.
• 1:06
  This absence has led to confusion and questions about
• 1:08
  the transparency of X's advertising practices.
• 1:11
  And the issue highlights a broader concern regarding the
• 1:13
  labeling and identification of sponsored content on social
• 1:17
  media platforms. Mr. Beast, whose real name is
• 1:20
  Jimmy Donaldson, expressed curiosity about the potential ad
• 1:23
  revenue from X. His decision to upload the video
• 1:26
  on X was framed as a kind of a test to explore new revenue
• 1:31
  streams, diverging from his usual YouTube focus strategy.
• 1:35
  Now the lack of clear labeling on Mr. Beast's video post has
• 1:39
  raised eyebrows. Some users have shared their
• 1:41
  experiences, noting the repeated appearance of the video in their
• 1:45
  feeds without the usual ad identifiers.
• 1:47
  The situation aligns with reports of X displaying
• 1:50
  unlabeled ads since September of last year, a development that
• 1:53
  has caught the attention of ad tech watchdogs and regulators.
• 1:57
  Now the organization Quote Check My Ads filed A complaint with
• 2:02
  the FTC highlighting concerns about X's transparency with ad
• 2:06
  labeling. This points to increasing
• 2:08
  scrutiny over how social media platforms manage and disclose
• 2:11
  advertising content, which is a key issue in the digital
• 2:14
  advertising industry. An employee of X, in a
• 2:17
  discussion with Ryan Broderick of the Garage Day newsletter,
• 2:20
  suggested that the presence of a pre roll video ad before Mr.
• 2:24
  Beast's video serves as sufficient disclosure.
• 2:28
  However, this explanation has been met with skepticism as it
• 2:31
  conflates different types of advertisements, potentially
• 2:34
  muddying the waters of advertising transparency.
• 2:38
  Now, intriguingly, older videos on the X app show Mr. Beast's
• 2:41
  posts with a promoted label indicating it's an ad.
• 2:44
  This inconsistency raises questions about how X's
• 2:47
  advertising mechanisms function and how they're perceived by
• 2:50
  different segments of its user base.
• 2:53
  The situation suggests that X might be artificially boosting
• 2:56
  Mr. Beast's video views through these unlabeled ads.
• 2:59
  This action, intentional or not, affects the platform's
• 3:02
  credibility and the authenticity of content.
• 3:05
  Reach and Elon Musk's strategy for X highly emphasizes video
• 3:10
  content. The platform's recent signings
• 3:12
  of high profile figures for exclusive video deals under
• 3:15
  score this focus, and Musk's direct engagement with creators
• 3:18
  like Mr. Beast reveals his active role in shaping the
• 3:21
  platform's content landscape. But despite initial reluctance
• 3:26
  setting production costs and fair compensation concerns, Mr.
• 3:29
  Beast was persuaded by Elon to experiment with uploading
• 3:33
  content on X. This could signal a significant
• 3:37
  shift in content distribution strategies for high profile
• 3:40
  creators like Mr. Beast. Now, if Mr. Beast's venture on X
• 3:44
  proves financially successful, it can mark a major win from us,
• 3:48
  potentially attracting more top creators to the platform and
• 3:51
  bolstering its multimedia strategy.
• 3:53
  And there's a lack of clarity around how X counts views on his
• 3:57
  platforms, especially after the removal of the public video view
• 4:00
  count feature. This obscurity makes it
• 4:02
  challenging to gauge the true reach and engagement of video
• 4:05
  content on X. Mr. BS has engaged with his
• 4:09
  followers in guessing the potential earnings from X's ad
• 4:11
  revenue share program. However, the platform's complex
• 4:14
  monetization rules, which favor certain types of users and
• 4:18
  content, make it difficult to predict.
• 4:20
  The actual learnings and reports suggest that X's creator
• 4:23
  monetization program is somewhat arbitrary, lacking a transparent
• 4:27
  and predictable payment structure.
• 4:29
  This unpredictability contrasts sharply with more established
• 4:32
  platforms like YouTube, where views are more directly
• 4:35
  correlated with earnings. Now, Elon Musk's promotion of
• 4:38
  Mr. Beast's video to his millions of followers adds
• 4:42
  another layer to the narrative, indicating his personal
• 4:44
  involvement in content creation and curation and promotion on X,
• 4:50
  possibly giving Mr. Beast's video millions of views of a
• 4:53
  boost. This outcome will not only
• 4:56
  reveal the platform's potential for content creators, but also
• 4:59
  will shed some light on its advertising and monetization
• 5:03
  strategies and his platforms like X.
• 5:06
  The need for transparency and fair practices become
• 5:09
  increasingly crucial. Whether X's approach with Mr.
• 5:13
  B's video marks a strategic shift or a one off experiment
• 5:17
  remains to be seen. Hey, thank you so much for
• 5:24
  listening today. I really do appreciate your
• 5:26
  support. If you could take a second and
• 5:28
  hit the subscribe or the follow button on whatever podcast
• 5:31
  platform that you're listening on right now, I'd greatly
• 5:34
  appreciate it. It helps out the show
• 5:35
  tremendously and you'll never miss an episode and each episode
• 5:39
  is about 10 minutes or less to get you caught.
• 5:42
  U quickly and please if you want to support the show even more,
• 5:46
  go to patreon.com/stage Zero and please take care of yourselves
• 5:52
  and each other and I'll see you tomorrow.