He also said that the platform did not experience the increase in sales that was expected in June, although he added that July was “somewhat more promising.”
Musk fired about half of Twitter’s 7,500 employees to try to cut costs.
Its competitive meta app, Threads, already has 150 million users by some estimates, after just over a week after release.
By connecting to Instagram, Threads has automatic and potential access to its 2 billion users.
In the meantime, Twitter is struggling with a heavy debt load, and according to Musk, the flow of funds remains in the red.
“We need to get positive cash flow before we can afford anything else,” the billionaire tweeted.
A change that “will take time”
Lucy Coutts, chief investment officer of JM Finn, an asset management firm, told BBC Today that she thought Musk would turn the tide on Twitter, “although it will take longer.”
“But unfortunately, he has a debt of 13,000 million US dollars, which must be paid before the end of July.therefore, we will see more pressure on Tesla shares if Musk has to sell more of his stake in this company, ”Coutts added.
Musk is also the chief executive officer and major shareholder of Tesla, an electric vehicle maker.
growth strategies
After laying off thousands of employees and slashing cloud bills, Musk said Twitter is on track for a record. revenue of $3 billion in 2023below US$5.1 billion in 2021.
The losses indicate that aggressive cost-cutting measures were not enough to win back many advertisers who left the platform following changes to content moderation policies.
During an interview with the BBC in April, Musk suggested that most advertisers have already returned to the platform.
However, Megana Dhar, former head of partnerships at Snap and Meta, points out that many of Twitter’s problems predated Musk’s arrival.
“Elon and Twitter are in trouble right nowTo be fair, though, we’ve seen this drop in Twitter’s growth and revenue even before the purchase. There has been a kind of steady decline.”
Linda Iaccarino, a former head of advertising at NBCUniversal, was hired as chief executive of Twitter in June, indicating that advertising sales remain a top priority for the company.
Iaccarino commented on Twitter’s plans to focus on video partnerships, creators and commerce. The company is reportedly negotiating deals with figures in politics and entertainment, payment services, media and news sites.
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Source: La Opinion
Alfred Hart is an accomplished journalist known for his expert analysis and commentary on global affairs. He currently works as a writer at 24 news breaker, where he provides readers with in-depth coverage of the most pressing issues affecting the world today. With a keen insight and a deep understanding of international politics and economics, Alfred’s writing is a must-read for anyone seeking a deeper understanding of the world we live in.