Elon Musk Tells Twitter Staff The Ahead Economic Picture Is Dire: “Bankruptcy Is Not Out Of The Box” – Featured Bitcoin News

Tesla CEO and Twitter boss Elon Musk told Twitter employees that the company’s “future economic outlook is dire.” Noting that “bankruptcy is not out of the question,” the billionaire stressed that “without significant subscription revenue, Twitter most likely will not survive the next economic downturn.”

Twitter could go bankrupt, says Elon Musk

Elon Musk, the billionaire who bought Twitter for $44 billion about two weeks ago sent its first email to all Twitter employees on Wednesday informing them of the social media platform’s bleak financial state. “There is no way to sugarcoat the message,” Musk wrote, adding:

Frankly, the economic outlook ahead is dire.

He went on to detail that the economic situation is worse for a company like Twitter that relies heavily on advertising in a challenging economic climate. “70% of our advertising is branded, rather than performance specific, which makes us doubly vulnerable,” she stressed.

Musk continued: “That is why the priority in the last ten days has been to develop and launch blue twitter Verified Subscriptions,” explaining:

Without significant subscription revenue, Twitter will most likely not survive the looming economic downturn. We need about half of our revenue to be from subscription.

However, Musk said the social media company will remain “significantly dependent on advertising” and is therefore working to “ensure Twitter remains attractive to advertisers.” The billionaire emphasized: “The road ahead is arduous and will require hard work to succeed.”

The CEO of Tesla and Spacex added that Twitter’s policy will change and remote work will no longer be allowed. Starting Thursday, all employees of the social media giant must be in the office a minimum of 40 hours per week, unless they are physically unable to travel or have critical personal obligations.

Additionally, Musk held an emergency meeting with Twitter employees on Wednesday. According to reports, said:

Bankruptcy is not out of the question.

After the meeting, two Twitter executives, Robin Wheeler and Yoel Roth, left the company. last week, musk fired about 50% of Twitter employees, claiming they had no choice as the social media company is losing more than $4 million a day.

Musk admitted on Wednesday that his new $8 a month The verification system has problems. “There are too many corrupt legacy blue ‘verify’ checkmarks out there so there is no choice but to remove the legacy blue in the coming months,” he tweeted. However, he insisted that the use of Twitter has increased since he took charge of the platform.

This week, he outlined how Twitter could generate revenue as a payment company after archived filing with the US Financial Crimes Enforcement Network (FinCEN) to start a payment business.

Do you think Twitter will go bankrupt? Let us know in the comments section.

kevin helms

Kevin, an Austrian economics student, found Bitcoin in 2011 and has been an evangelist ever since. His interests lie in the security of Bitcoin, open source systems, network effects, and the intersection between economics and cryptography.

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