Elon Musk, the CEO of Twitter Inc., claimed on Wednesday that the social media business is “essentially breaking even.” Noting that the majority of its advertisers have returned. And that its aggressive cost-cutting measures have begun to pay off following significant layoffs.
In an interview with the BBC that was shown live on Twitter Spaces, Musk said that Twitter currently employs 1,500 people. Compared to “just under 8,000 staff members” when he acquired the company in October.
Since Elon Musk purchased Twitter for $44 billion, it has been characterised by confusion. And uncertainty as many of the engineers who are in charge of resolving. Also avoiding service disruptions have been laid off.
According to internet watchdog group NetBlocks, Twitter experienced its sixth significant outage since the start of the year last week when a problem blocked thousands of users from accessing links.
Musk recognised some issues, such as recent outages, but claimed they were short-lived. He claims that Twitter had to take extraordinary measures. This happened due to a $3 billion negative cash flow crisis, which included mass layoffs.
In the interview, which attracted more than 3 million listeners, he added, “We might be cash-flow positive this quarter if things go well,.” Adding that the company is now seeing all-time high user numbers.
Since his acquisition, Twitter has experienced a sharp fall in advertising.
That was attributed, according to Musk, to the cyclical nature of advertising spending, some of which was “political.” The majority of its advertisers, he claimed on Wednesday, have come back.
The billionaire, who also owns rocket manufacturer SpaceX and electronic car producer Tesla, claimed he has no one in mind to succeed him as Twitter CEO.
Tesla shareholders have questioned Musk about how much time he spends managing the social media site. And he has stated that finding a new Twitter CEO would be “excellent timing” towards the end of this year.
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