16 August 2023

Twitter rebrands as ‘X’: the dangers of abandoning iconic trade marks

Twitter has recently announced its decision to undergo a complete rebranding, changing its name to ‘X’ and abandoning the iconic blue bird that has been associated with the brand for years. This approach comes in a rapidly changing digital world in which companies are always under pressure to reinvent themselves. While rebranding may be a smart step for staying current and establishing a brand’s identity, it also has inherent risks, particularly when historic trade marks are abandoned.

The power of iconic trade marks

Twitter’s iconic blue bird logo and its name hold immense power in the consumer psyche. Twitter has grown to become one of the most important platforms for real-time information, communication, and social networking, as well as people incorporating Twitter language into their everyday vocabulary and using it as a verb ‘tweeting.’ By deciding to rebrand and abandon the original mark, Twitter runs the risk of losing its hard-earned brand equity and recognition. Twitter risks losing that instant association by switching to ‘X’ and it may find it difficult to preserve its identity in the minds of users.

Trade mark dilution and public perception

Twitter has developed a significant global user base over the years, and the company’s choice to abandon its distinctive mark may open a legal Pandora’s box. Trade marks are essential assets for any company, safeguarding its unique identity and preventing unauthorised use by competitors. By abandoning its well-known mark, Twitter exposes itself to possible trade mark dilution due to changes and actions taken by the company which can lead to a loss of recognition and identification among consumers. With this, the brand’s value and uniqueness may be eroded or muddled over time and diluting the strong recognition people may have with the brand.

A rebranding can be successful when it can really capture the essence of the new brand and resonate with consumers, and Twitter’s rebrand implies a fresh start and an opportunity to redefine its image.  This strategic shift indicates not just the company’s desire to attract a larger user base, but also its willingness to adapt to changing trends and user preferences. The difficulty here is to ensure that the new identity meets consumer expectations while keeping components of the previous brand’s familiarity.

Trade mark challenges

‘X’ is widely used across several industries and Twitter may face legal challenges from companies that already have rights to the letter ‘X’; Twitter could have issues in defending the ‘X’ brand name in the future. The new name’s single-letter nature presents a unique problem. Single-letter trade marks, while possibly distinctive and bold, face inherent limitations in the scope of protection they can offer.

Obtaining trade mark rights, especially at a global scale, necessitates extensive clearance searching to avoid conflict and make sure the new name is available for use and registration as a trade mark, especially in this case as the single letter ‘X’ mark has been used across various industries, from technology to entertainment, and is very popular commercially which increases the risk of potential conflicts. There are also registrations obtained by companies that operate in similar industries to Elon Musk’s X Corp, such as Microsoft and Meta.

While the rebranding provides a new beginning, Twitter must also ensure that the new identity, ‘X’, stands out in the crowded digital marketplace. Distinctiveness is a key component of trade mark protection since it prevents confusion and dilution of a brand’s image. The challenge is to keep this distinctiveness while navigating the sea of existing ‘X’ trade marks. It is this sea of existing trade marks and complexity which highlight and necessitate the importance of trade mark searches and the downfalls of adopting a mark without carrying out appropriate checks.

Twitter’s original trade marks, including the phrase “Twitter” and its famous bird emblem, are well-protected and have a strong brand identity and reputation associated with them. This is due to their long history of use, global recognition, and distinctiveness. These trade marks demonstrate the need of not only obtaining protection but also consistently upholding the brand’s image to avoid dilution.

Conclusion

While rebranding can be a crucial step for businesses wanting to adapt to changing market dynamics in order to remain relevant, it is not without risks. Twitter’s plan to change its name to ‘X’ is undeniably a high-stakes gamble that could either redefine the company’s future or jeopardise its hard-earned brand value. Confusion, loss of identity, legal problems, reputation risks, and eventual dilution of brand value are among the risks of abandoning iconic trade marks.

The success of Twitter’s rebranding will be determined by how successfully the company communicates the rationale for the move, their ongoing goodwill, how it addresses any legal issues, and how well it maintains a smooth transition for users. Only time will tell whether ‘X’ can emerge as a stronger, more resilient brand.

Tanya Rahman
Trainee Trade Mark Attorney
Harry Rowe
Managing Associate