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12° Nicosia,
08 February, 2023
 

Twitter: Musk warns of the possibility of bankruptcy

The platform's new owner said the company is potentially set to lose billions of dollars next year

Source: Kathimerini Cyprus

During a phone call with his employees on Thursday, Twitter's new owner, Elon Musk, discussed the possibility of the platform's bankruptcy.

According to foreign media, two Twitter executives, Joel Roth and Robin Huiller, resigned after initially attempting to collaborate with Musk.

Musk warned employees in his first meeting on Thursday afternoon that the company could lose billions of dollars next year.

Twitter Inc's financial situation is precarious, just two weeks after Musk agreed to buy it for $44 billion (43.26 billion euros).

Musk, who moved quickly with layoffs at the company after completing the acquisition on Oct. 27, has stated that Twitter Inc is losing $4 million per day, primarily due to advertisers leaving since he took control.

A "beacon" from the US regulator

Thursday was a truly chaotic day for Twitter, as the US regulator issued a warning to Musk, among other things, and senior executives continue to leave the company.

Following the resignations of three senior executives, the US Federal Trade Commission (FTC) said it is monitoring developments at Twitter with "deep concern," as they expose Twitter to the risk of potential violations of federal rules.

The departure of executives continue
According to foreign media, two Twitter executives, Joel Roth and Robin Huiller, resigned after initially attempting to collaborate with Musk. On Wednesday, they moderated a discussion with the platform's new CEO in an attempt to assuage advertiser concerns.

After Musk took over the company, Huiller became the face of Twitter's advertising. According to Roth, who was in charge of security, Twitter reduced the viewing of harmful content in survey results by 95% compared to before Musk's acquisition of the platform.

Earlier on Thursday, Twitter's chief security officer, Leah Kishner, announced her resignation in a blog post.

With information from APE-MPA, Reuters, and Bloomberg 

[This article was translated from its Greek original]

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