1. News
  2. SOCİAL MEDİA
  3. Musk Offers Twitter Employees Stock Amid Valuation Drop

Musk Offers Twitter Employees Stock Amid Valuation Drop

featured
Share

Share This Post

or copy the link

Elon Musk, the CEO of Twitter, has proposed stock grants to the platform’s employees at a valuation close to $20 billion (approximately Rs. 1,64,600 crore), according to a report by the Information citing a source familiar with an email Musk sent to staff.

This valuation marks a significant decline, being less than half of the $44 billion (around Rs. 3,62,100 crore) Musk paid for Twitter, indicating a substantial drop in the platform’s worth.

A request for comment from Twitter did not receive an immediate response from the company.

Musk previously mentioned that Twitter is expected to reach a “roughly cash flow break-even” point in 2023, amidst reduced advertising spending by major clients following his acquisition of the platform.

This demand adds complexity to Musk’s strategy to restructure the unprofitable business he purchased in October for $44 billion. He has already cut over half of Twitter’s workforce, which numbered 7,500, including dismantling trust and safety teams in several locations, while looking for more affordable methods to oversee content.

The sweeping layoffs have raised concerns regarding Twitter’s ability to meet the requirements of the EU’s Digital Services Act, which mandates online platforms to implement specific measures against illegal content before the law’s full enforcement in early 2024.

To manage content moderation, Twitter has been increasingly relying on automation and has eliminated some manual oversight. Unlike larger competitor Meta Platforms, which operates Facebook and Instagram, Twitter does not currently employ fact-checkers.

© Thomson Reuters 2023


Realme might not want the Mini Capsule to be the defining feature of the Realme C55, but will it end up being one of the phone’s most talked-about hardware specifications? We discuss this on Orbital, the Gadgets 360 podcast. Orbital is available on Spotify, Gaana, JioSaavn, Google Podcasts, Apple Podcasts, Amazon Music and wherever you get your podcasts.
Affiliate links may be automatically generated – see our ethics statement for details.

Musk Offers Twitter Employees Stock Amid Valuation Drop
Comment

Tamamen Ücretsiz Olarak Bültenimize Abone Olabilirsin

Yeni haberlerden haberdar olmak için fırsatı kaçırma ve ücretsiz e-posta aboneliğini hemen başlat.

Your email address will not be published. Required fields are marked *

Login

To enjoy Technology Newso privileges, log in or create an account now, and it's completely free!