Linda Yaccarino, CEO of Elon Musk’s social media platform X, announced her unexpected resignation, surprising many just months after Musk’s AI startup xAI acquired the platform.

Yaccarino, 61, shared the news in a post on X, stating, "I've decided to step down as CEO of X." The timing of her departure remains unclear.

Advertiser Confidence and Content Issues at X

Yaccarino took charge two years ago to help restore trust among advertisers, who had been leaving amid rising hateful and toxic content on the platform.

During her tenure, she sued some advertisers and the World Federation of Advertisers, accusing them of colluding to boycott X.

Her resignation closely followed a controversy where Grok, xAI’s chatbot, posted antisemitic content and praise for Adolf Hitler on X. The posts were deleted after public backlash.

Yaccarino emphasized efforts to restore advertiser confidence and prioritize safety on the platform.

Impact of Musk’s Management Style on X’s Leadership

Analysts suggest that Yaccarino’s resignation might reflect a mismatch between her management style and Musk’s approach.

Gil Luria, an analyst at D.A. Davidson, said Yaccarino "may have left as a result of a lack of fit between her approach and Elon Musk’s style," especially after Grok’s offensive AI posts.

Emarketer vice president Jasmine Enberg noted that Yaccarino had to “try to run the business while also regularly putting out fires,” adding that the ad business was expected to grow in 2025, indicating Yaccarino "accomplished what she was hired to do".

X’s Business Strategy and Challenges Under Yaccarino

Under Yaccarino’s leadership, X introduced new features aimed at becoming an “everything app,” including a partnership with Visa for direct payment solutions and launching a smart TV app.

The company also explored launching an X credit or debit card, according to the Financial Times.

The platform continues to face heavy debt and controversies, including past incidents where Musk endorsed antisemitic conspiracy theories. X was formerly known as Twitter before being renamed by Musk.

Other Musk companies are experiencing executive departures as well. Tesla recently lost two top executives amid falling sales, with Musk spreading himself thin by running a government efficiency department earlier this year.

Tesla shares slipped about 1% following news of Yaccarino’s resignation.

PHOTO: ALAMY/THE ECONOMIST

This article was created with AI assistance.