More woes for Twitter as Elon Musk says the company has lost half of its ad revenue.
Musk bought the social media platform for $44 billion in October, and proceeded to go on a cost-cutting spree, laying off thousands of employees and cutting cloud service bills.
Musk said back in March he expected Twitter to reach cash flow positive by June.
But last Sunday, he acknowledged that hadn’t happened – adding that:
“July is a bit more promising.”
It is unclear what time frame Musk was referring to by the 50% drop in ad revenue.
But since he took over, Twitter has been criticized fo r lax content moderation leading to an exodus of many advertisers who did not want their ads appearing next to inappropriate content.
And also none-payment of African staff that were laid off last year.
Musk’s hiring of Linda Yaccarino, the former head of advertising at NBCUniversal, signalled that ad sales remain a priority for the site.
Yaccarino started working as CEO in early June and has told investors the site plans to focus on video, creator, and commerce partnerships.