4 October 2023

Digital Technology Guru

Digital Technology Guru Reviews

The Impact of Elon Musk’s Monetization Program on X Premium Subscriptions

3 min read
The Impact of Elon Musk’s Monetization Program on X Premium Subscriptions

Elon Musk, the renowned entrepreneur and CEO of Tesla and SpaceX, recently introduced a monetization program for X Premium (formerly known as Twitter) in an effort to incentivize creators. However, the subscription numbers for X Premium have not seen significant growth despite the enticing prospect of earning money. Let’s explore the details and the impact of Musk’s monetization program on X Premium subscriptions.

The Launch of the Monetization Program

Last month, X Premium launched its creator monetization program, allowing select creators to earn revenue from their content. Musk’s favorite creators were among the first to receive payouts, which ranged in the tens of thousands of dollars. Following this initial batch, smaller creators began to receive payouts in the hundreds of dollars range. Musk has actively promoted the monetization program since its launch, emphasizing that subscribing to X Premium is a prerequisite for participation. However, the subscription numbers for X Premium have been lackluster.

Disappointing Subscription Numbers

Data collected third-party researcher Travis Brown indicates that only around 94,000 net users subscribed to X Premium between July 1 and August 10. This data suggests that the monetization program has failed to attract significant new subscribers to X Premium. Over the past month and a half, X Premium gained approximately 16,000 net new subscribers per week, which is only a slight increase compared to previous growth rates.

In contrast, previous actions Musk, such as making the free version of X worse, resulted in substantial subscription upticks. For example, when Musk announced the removal of verification badges from legacy verified accounts, Twitter Blue witnessed a surge of 53,682 net new subscriptions in just one week. Even these numbers were considered disappointing when compared to the number of legacy verified users.

The Scope of X Premium Subscriptions

Based on Brown’s data collection method, it is estimated that around 827,615 users currently subscribe to X Premium. Brown believes that the total number of X Premium subscribers is unlikely to exceed 950,000. In comparison, Musk claimed that the overall X platform has more than 540 million monthly users. It is essential to note that subscribing to X Premium offers additional benefits besides monetization eligibility, such as a verification badge, longer tweets, and an edit tweet function.

Monetization Eligibility and Limitations

Users must have 500 followers and have received at least 5 million post impressions over the past three months to be eligible for monetization. However, over 37% of X Premium subscribers, approximately 307,891 users, do not meet the follower requirement and are ineligible for monetization. Additionally, many subscribers likely fall short of the 5 million impression threshold. Musk clarified that only views from other X Premium subscribers count towards monetization, meaning there are fewer than one million monetizable subscribers on the entire platform.

Future Prospects

The recent data suggests that the monetization program has not had a substantial impact on X Premium subscriptions. However, it’s worth considering that the eligibility requirements for monetization were lowered on August 11, the day after the data was compiled. It remains to be seen whether these changes will lead to an increase in X Premium subscriptions. As Musk continues to explore strategies to boost X Premium subscriptions, it will be interesting to see how the platform evolves in the future.

Source: Article Travis Brown