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Elon Musk warns that Twitter could go bankrupt because of turmoil at the company

Elon Musk told Twitter employees on a conference call that he could not rule out bankruptcy two weeks after buying Twitter for $44 billion, a deal that has put Twitter’s finances at risk, according to Bloomberg News.

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

Shortly after the meeting, two Twitter executives resigned: Yoel Roth and Robin Wheeler, who hosted a Twitter Spaces chat with Musk on Wednesday to allay advertisers’ concerns.

Lea Kissner, Twitter’s chief information and security officer, has also left the company, and although they did not specify why they are leaving, the departure follows a large-scale layoffs and product changes at the social media company under new CEO Elon Musk.

Elon Musk completed a $44 billion takeover of Twitter two weeks ago, which led to the dismissal of more than half of the company and the departure of senior executives, including CEO Parag Agrawal, general counsel Sean Edgett and legal policy chief Vijaya Gadde. Damien Kieran, the chief privacy officer, and Marianne Fogarty, the chief compliance officer, are also said to have left.

The U.S. Federal Trade Commission expressed “deep concern” following the resignation of these privacy and compliance officers. Twitter may have violated regulatory orders as a result of these resignations.

The sources for this piece include an article in TheRegister.

IT World Canada Staff
IT World Canada Staffhttp://www.itworldcanada.com/
The online resource for Canadian Information Technology professionals.

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Jim Love, Chief Content Officer, IT World Canada

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