While job cuts are expected regardless of the sale, the extent of Musk’s planned cuts is far more extreme than anything Twitter has planned.
SAN FRANCISCO — Elon Musk plans to lay off much of Twitter’s workforce if and when he becomes the owner of the social media company, according to a report Thursday by The Washington Post.
According to the report, Musk has told potential investors in his Twitter acquisition that he plans to cut nearly 75% of Twitter’s 7,500-employee base, leaving the company with a skeleton team. The newspaper cited documents and unnamed sources familiar with the discussions.
Twitter is based in San Francisco and represents Musk’s attorney, Alex Spiro, who did not immediately respond to messages seeking comment.
While job cuts are expected regardless of the sale, the extent of Musk’s planned cuts is far more extreme than anything Twitter has planned. Musk himself has previously alluded to a need to hire some of the company’s employees, but he hasn’t given a specific number — at least not publicly.
“The 75 per cent cut in headcount will indicate that, at the very least, free cash flow and stronger profitability, which should be attractive to investors looking to invest,” said Wedbush analyst Dan Ives. enter into this transaction. “That said, you can’t cut off your growth.”
Ives added that the drastic cuts to Twitter’s workforce will likely set the company back years.
Now experts, nonprofits and even Twitter employees have warned that pulling back on investments in content moderation and data security could hurt Twitter and its users. its. With drastic cuts like Musk may be planning, the platform can quickly become flooded with malicious content and spam – something the Tesla CEO himself has said he would tackle if he became the owner. owned by the company.
After an initial $44 billion bid in April to acquire Twitter, Musk backed out of the deal, alleging that Twitter misrepresented the number of fake accounts “spam bots” on its platform. . Twitter sued and a Delaware judge gave both sides until October 28 to find out the details. If not, there will be a trial in November.
https://www.king5.com/article/news/nation-world/report-elon-musk-plans-to-cut-twitter-workforce/507-2f324184-a159-4397-b3c9-130b3ce307a6 Elon Musk reportedly plans to cut 75% of Twitter workforce