Musk warns Twitter could face bankruptcy

0
Musk warns Twitter could face bankruptcy
Musk warns Twitter could face bankruptcy

The new owner and CEO of Twitter, Elon Musk, told Twitter employees in a mass message that bankruptcy was not out of the question. After Musk posted an e-mail warning that the company may not survive the coming recession if it does not boost subscription revenues to offset the diminishing advertising revenue, he made the announcement several hours after he sent a mass e-mail warning that the company might not “survive the upcoming economic downturn.”

As reported by Reuters, Twitter has also been struggling as a result of the exit of key executives, including the CIO and Yoel Roth, the Director of Trust & Safety, which caused the situation to spiral out of control.

Musk warns Twitter could face bankruptcy

It has now been revealed that Roth served as Twitter’s Head of Hate Speech and Misinformation Responses, and now his Twitter account bio shows that he is a former head of their hate speech and misinformation response team. It has also been reported that the Chief Privacy Officer and the Chief Compliance Officer have departed, as indicated by an internal Slack message. In fact, Robin Wheeler, the company’s top ad executive, is one of the people who decided to stay at the company for the time being at least.

Must Read: Twitter layoffs may lead to a lawsuit against Elon Musk

Twitter is under investigation by the Federal Trade Commission, after the privacy and compliance executives of the company left the company, causing “deep concern”. There is a possibility that these exits could result in violations of regulatory orders for the social media, but Musk’s attorney, Alex Spiro, said his team is engaged in a “constructive ongoing dialogue” regarding the issue.

It has now been revealed that Roth served as Twitter’s Head of Hate Speech and Misinformation Responses, and now his Twitter account bio shows that he is a former head of their hate speech and misinformation response team. According to an internal Slack message, the Chief Privacy Officer and the Chief Compliance Officer also left the company. In the meantime, Robin Wheeler, who is the company’s top advertising executive, has decided to stay with the company at least for now.

Following the departure of the company’s privacy and compliance executives, the US Federal Trade Commission is watching Twitter with “deep concern”. In light of these exits, multiple regulatory orders are at risk for the social media site, but Musk’s lawyer Alex Spiro is adamant the team is currently engaged in a “constructive ongoing dialogue” regarding the issue.

Must Read: DMs to celebrities may be paid on Twitter

Among the reasons that the FTC is keeping a close eye on Twitter is that social media has already misused personal information, including phone numbers that are given to advertisers through social media platforms. Spiro however tried to calm the situation by stating that “Elon puts rockets into space; he is not afraid of the Federal Trade Commission (FTC)”, without clarifying what the relationship between the two.

LEAVE A REPLY

Please enter your comment!
Please enter your name here