When the news about Elon Musk taking over Twitter was released, Twitter started losing its advertisers. It was because of the new policies Musk wanted to impose on the app and no one wanted to work with those policies. According to MediaRadar, Twitter has been losing advertisers since May. Initially, everyone was excited about Elon as the owner of Twitter but in May about 4,000 advertisers dropped, and everyone started thinking of Elon's upcoming ownership differently. This loss in advertisers continued till August when about 2,300 advertisers dropped from the app and in September it again increased to 2,900. Brands are conscious about their brand safety due to the economic conditions and twitter ads policy.
As the advertisers have stopped with their advertisements, Twitter is suffering from a major revenue drop. Elon Musk still hasn't shared exact stats about the decline but tweeted that he had made no change in Twitter monetization policies so this is a big concern for everyone working on Twitter. Many big advertisers have temporarily stopped advertising on Twitter because they would like to know how Elon will pull out a strategy on Twitter first. Another thing worth mentioning is that Twitter has fired a major chunk of its employees because of how much the company is losing over $4M per day. In his tweet on Friday, Musk said that everyone who left has been offered 3 months of severance which is more than the legal requirements. Many of the important employees in the Global Marketing Team were asked to leave their jobs via email.
The chaos is just starting after Elon Musk's ownership because Twitter employees filed a lawsuit against Twitter. In their claim, those employees said that they are not given 60-days advance notice before being fired. Only an email is sent to the employees who are fired and won't be working for Twitter further. Under the WARN (Worker Adjustment and Retraining Notification) act, a big company in the US cannot mass fire their employees before giving notice to them 60 days prior. This previously happened with Tesla too, when Musk fired 10% of his Tesla employees without notice.
Twitter's head of Safety and Integrity, Yoel Roth, said that even though they have cut a major Twitter force, the company is still intact to perform its core moderation capabilities. Twitter has also restricted some employees to use important tools because of security concerns but it is being said that this use will be restored in the upcoming days. Even though 80% of twitter's incoming content moderation volume was unaffected by Elon's access to Twitter, it has still deprioritized some important works like helping with lost passwords and suspension requests. Last week Musk said that Twitter will implement a content moderation council for upcoming elections.
Read next: New Study Says Twitter Users Are Not Happy With Musk In Charge And Many Are Abandoning The App
As the advertisers have stopped with their advertisements, Twitter is suffering from a major revenue drop. Elon Musk still hasn't shared exact stats about the decline but tweeted that he had made no change in Twitter monetization policies so this is a big concern for everyone working on Twitter. Many big advertisers have temporarily stopped advertising on Twitter because they would like to know how Elon will pull out a strategy on Twitter first. Another thing worth mentioning is that Twitter has fired a major chunk of its employees because of how much the company is losing over $4M per day. In his tweet on Friday, Musk said that everyone who left has been offered 3 months of severance which is more than the legal requirements. Many of the important employees in the Global Marketing Team were asked to leave their jobs via email.
The chaos is just starting after Elon Musk's ownership because Twitter employees filed a lawsuit against Twitter. In their claim, those employees said that they are not given 60-days advance notice before being fired. Only an email is sent to the employees who are fired and won't be working for Twitter further. Under the WARN (Worker Adjustment and Retraining Notification) act, a big company in the US cannot mass fire their employees before giving notice to them 60 days prior. This previously happened with Tesla too, when Musk fired 10% of his Tesla employees without notice.
Twitter's head of Safety and Integrity, Yoel Roth, said that even though they have cut a major Twitter force, the company is still intact to perform its core moderation capabilities. Twitter has also restricted some employees to use important tools because of security concerns but it is being said that this use will be restored in the upcoming days. Even though 80% of twitter's incoming content moderation volume was unaffected by Elon's access to Twitter, it has still deprioritized some important works like helping with lost passwords and suspension requests. Last week Musk said that Twitter will implement a content moderation council for upcoming elections.
Read next: New Study Says Twitter Users Are Not Happy With Musk In Charge And Many Are Abandoning The App
