Social media platform X (formerly known as Twitter) has decided to discontinue its practice of allowing advertisers to promote their accounts on the platform’s timeline, a move that has ignited concerns about its annual revenue stream.

Axios reported on Tuesday that an email had been dispatched to advertising clients, outlining the decision’s implications, Reuters reported.

Promoted accounts, often referred to as ‘Follower Objective’ ads, have been a lucrative feature, contributing more than $100 million in annual global revenue for X.

This revenue stream’s abrupt closure has led to questions about the platform’s financial stability and its ability to attract advertising partnerships in the future.

X has yet to issue an official statement regarding this development, despite inquiries from Reuters seeking clarification. Industry experts speculate that advertisers’ reliance on promoted follower ads to engage with audiences and drive business could be impacted significantly.

The company’s CEO, Linda Yaccarino, a former advertising executive at NBCUniversal, has been working to overhaul the platform’s image since taking the helm on June 5.

Yaccarino’s strategic vision aims to win back advertisers who abandoned the platform following the substantial changes implemented by Elon Musk.

As X navigates this transformation, stakeholders closely watch how the company navigates this pivotal juncture in its evolution.