Social media platform X, formerly known as Twitter, is currently grappling with significant challenges concerning its creator monetization program, a situation acknowledged by its owner, Elon Musk. Musk openly admitted that the platform is underpaying its creators and failing to allocate payments accurately, contrasting X's performance with that of YouTube, which he stated "does a much better job." This admission comes amidst widespread concerns and complaints from creators who have reported experiencing low earnings and inconsistent payouts since the platform launched its ad revenue-sharing program in 2023.

The core of the issue stems from the program's perceived unpredictability and its alleged encouragement of 'engagement farming.' Many creators have criticized X for seemingly rewarding those who copy viral posts or spread misinformation and nudity to generate engagement, often at the expense of original content creators. A user, @mitchellvii, articulated this frustration, noting, "I guess I’m confused because it seems like X is the one that is rewarding engagement farming and burying actual creator content. Just start letting our followers see our posts, and this whole problem will be solved. You’re over-managing the system."

This growing dissatisfaction has had a tangible impact on the platform's user base and creator habits. A 2025 report indicated a significant rise in discontent among creators, prompting many high-profile users to seek alternative platforms such as Bluesky, Mastodon, TikTok, YouTube, and Threads. Their motivations are varied, ranging from the pursuit of revenue stability and improved engagement tools to a desire for social media environments that better reflect their personal values.

Adding to the debate, Nikita Bier, in response to user concerns, hinted at the profound difficulties within X's payout system, stating, "At this point, I think creator payouts do more harm than good—and we need to off-ramp to a different system." Bier's response, however, was deemed unsatisfactory by many. Musk, while confirming the underpayment, offered an alternative perspective to Bier's comment, which further fueled discussions about the program's efficacy and future.

The lack of transparency in X's monetization policies further exacerbates the problem. Reports have highlighted instances where users with millions of monthly impressions have received surprisingly low monetary returns, with revenue fluctuating wildly even when view counts remained stable. This stands in stark contrast to platforms like YouTube, whose Partner Program, despite taking a 45% cut of ad revenue, is known for its predictable payment structure.

Musk's direct acknowledgment of YouTube's superior monetization strategy could signal a pivotal turning point for X. A potential shift towards a new and more equitable policy is seen as crucial for sustaining the platform's credibility and retaining its creator base. While addressing the monetization woes, X has also been rolling out other usability improvements. Earlier in the week, the platform introduced a long-awaited 'synced drafts' feature, allowing users to seamlessly continue composing drafts across its mobile app and web interface. Nevertheless, the resolution of the creator payment issues remains paramount for X's long-term health and competitiveness in the social media landscape.