(Reuters] – Advertising agencies could hesitate to invest in Twitter (NYSE). This comes after Elon Musk, the richest man on earth, bought the company for $44billion.

Musk is a free speech absoluteist who has yet to give details about how he intends to “improve” Twitter. However, Musk has repeatedly criticized Twitter’s content moderation policies and called for more freedom of speech.

Twitter is the main revenue source for advertising. Analysts fear that Twitter could allow unrestrained speech to spiral into hate speech and misinformation, leading potential advertisers to leave Twitter.

Michael Nathanson from MoffettNathanson analysts said that it is likely that advertisers won’t spend as much on Twitter if Elon Musk eliminates content moderation.

Nathanson stated that if Musk keeps his word, Twitter advertisers may switch to Alphabet’s Youtube or TikTok channels for brand awareness.

Musk, who joined Twitter in 2009 and has since amassed over 80 million followers, has also used Twitter to make several announcements including one about Tesla’s (NASDAQ:), privatization that put him in the regulatory spotlight.

With over 200,000,000 users and a 16-year history, the company reported $4.51Billion in ad revenue in 2021. This accounts for approximately 89%.

Twitter’s challenge will be to maintain and build revenue, given the controversial views (Musk), which are sometimes unappetizing to advertisers. Hargreaves Susannah Streeter was a Lansdown analyst (LON).

Musk suggested that a subscription-based business model might be possible. Analysts at MKM Partners stated that this could shift ad spend towards smaller companies like Snapchat (NYSE:), and Pinterest (NYSE.

According to them, “We expect there to be substantial ripple effects throughout the entire online advertising ecosystem when Twitter undergoes this ‘go public’ process in the coming months.”

According to analysts, the board of Twitter has approved the deal and it is likely to not be challenged by regulators.