Far-right mogul and crashing car manufacturer Elon "Chief Twit" Musk said earlier today the his struggling Twitter platform has "negative cash flows" (i.e., bleeding money) due to advertisers leaving the site and revenues off 50%. Musk's decision to allow the worst of the worst conspiracy promoters, hate speech spouters and election deniers back on Twitter convinced many advertisers that Twitter was becoming toxic, and the Musk himself was getting more and more unstable. From CNBC:
"Tesla and SpaceX CEO Elon Musk, who is also CTO and executive chairman of Twitter, said early Saturday morning that cash flow remains negative at the social media company because of a nearly 50% drop in advertising revenue coupled with 'heavy debt.'
'Need to reach positive cash flow before we have the luxury of anything else,' Musk wrote in response to a tweet.
Musk took over Twitter in October of last year in a deal valued at around $44 billion, including about $13 billion in debt. He sold billions of dollars worth of his Tesla shares in part to finance that deal.
By January, hundreds of advertisers had reduced or halted their ad spending on Twitter in response to Musk making steep staff cuts at the company, and implementing changes to the platform, especially restoring previously banned accounts and changing its approach to content moderation." (our emphasis)
To try to lure advertisers back, Musk hired a former NBC Universal executive Linda "Yackety Yak" Yaccarino as Twitter's effectively powerless "CEO", and continues to pull the strings for the social media site. In addition, Musk is promoting ad revenue sharing with "content creators" and right-wing influencers such as misogynist alleged rapist and sex trafficker Andrew Tate. Sounds like the Chief Twit is tripling down on his genius plan for Twitter.
