Elon Musk says Twitter continues to be shedding money as a result of promoting has dropped by half.
In a reply to a tweet providing enterprise recommendation, Musk tweeted Saturday, “We’re nonetheless unfavourable money circulate, as a consequence of (a couple of) 50% drop in promoting income plus heavy debt load.”
“Want to achieve constructive money circulate earlier than we now have the luxurious of anything,” he concluded.
Ever since he took over Twitter in a $44 billion deal final fall, Musk has tried to reassure advertisers who have been involved in regards to the ouster of high executives, widespread layoffs and a unique method to content material moderation. Some high-profile customers who had been banned have been allowed again on the location.
In April, Musk mentioned a lot of the advertisers who left had returned and that the corporate may grow to be cash-flow constructive within the second quarter.
In Could, he employed a brand new CEO, Linda Yaccarino, an NBCUniversal govt with deep ties to the promoting business.
However since then, Twitter has upset some customers by imposing new limits on what number of tweets they will view in a day, and a few customers complained that they have been locked out of the location. Musk mentioned the restrictions have been wanted to forestall unauthorized scraping of doubtless priceless knowledge.
Twitter received a brand new competitor this month when Fb proprietor Meta launched a text-focused app, Threads, and gained tens of hundreds of thousands of sign-ups in just a few days. Twitter responded by threatening authorized motion.