Twitter revenue is DOWN 40% from last year as more than 500 advertisers suspend spending
>
Twitter has suffered a 40 percent drop in revenue since last year as more than 500 advertisers halted spending on the microblogging site.
Elon Musk’s $44 billion acquisition of Twitter last October has been mired in controversy after the businessman laid off thousands of employees without warning.
Insiders told the Platformer technology newsletter that their daily revenue on Tuesday on January 17 it was 40 percent less than the same day a year ago.
In the first quarter of 2022, Twitter generated $1.2 billion in revenue, or the equivalent of $13.3 million per day. If your income is now 40 percent below that, you would currently be earning $8 million per day.
Twitter has suffered a 40 percent drop in revenue since last year as more than 500 advertisers stopped spending on the site after businessman Elon Musk, pictured, took over the site.
Twitter’s revenue is down 40 percent, according to experts, meaning daily revenue is estimated to be around $8 million, based on figures for the first quarter of 2022.
Meanwhile, more than 500 advertisers have stopped spending on the site since the Musk acquisition. reports Information.
Engineering manager Siddharth Rao is said to have informed employees about the fall in a presentation to staff on Tuesday.
Advertisers have been spooked by the company’s mass layoffs and Musk’s rush to implement a paid verification feature that resulted in scammers impersonating companies on Twitter.
The social media platform also recently reversed its 2019 ban on political ads, saying it would relax ad policy for “cause-based ads” in the United States and align its ad policy with television and other media outlets.
In November, Musk admitted there had been issues with ad revenue, telling his followers: “Twitter has had a massive drop in revenue as activist groups put pressure on advertisers, though nothing has changed with content moderation. , and we did everything we could to appease the activists.’
He added: ‘Extremely messy! They are trying to destroy free speech in America.
On Wednesday, Twitter was trading at $53.70, down 1.09 percent from last year.
In November, Musk tweeted that the company was losing advertisers because “activist groups” claimed they were “trying to destroy free speech in America.”
The company has yet to post its fourth-quarter earnings, which will be released in February.
Musk had planned to diversify Twitter’s revenue away from ads in the long term, however the sudden drop in spending will likely hamper the company in the medium term.
Musk has already laid off 75 percent of the 7,500 employees, prompting dozens of laid-off workers to try to sue the company for firing them without notice.
And the firm is also facing a lawsuit from the owner of one of its San Francisco offices for non-payment of rent.
Court records show the social media giant failed to pay the $136,260 rent for its office at 650 California Street.
The building is not the official headquarters of Twitter, which is located near Market Street.
Similar problems have cropped up at his other offices, including one in Seattle, where he is facing eviction for non-payment of rent.
Staff at the Seattle location have been told they must now work from home.
It comes as supplies from Twitter headquarters are now listed on the Heritage Global Partners auction website.
Chairs in the company’s offices sold for more than $1,000.
Musk first announced in December that he was putting company items up for sale, claiming he wanted to clear its headquarters of its “awakened” supplies.
Items from San Francisco from Twitter auctioned off at Heritage Global Partners with a ‘@’ sculpture pot, pictured, for sale for $8,250
Other items available include chairs, refrigerators, Mac desktops, various white boards, and various unpackaged desks.
This included a huge Twitter bird statue and other thousand dollar items starting at $25.
Other items that have been put up for sale in the office include valuable luxury items such as a $20,000 espresso machine, a $10,000 vegetable dryer and a $17,000 braising pan.
An espresso machine worth around $18,000 is up for grabs on the auction website.
An ‘@’-shaped flowerpot is also up for grabs, currently bidding at $8.20.
Since his inauguration, Musk, 51, has reduced the company’s staff from around 7,000 to 2,500 in an attempt to rebrand Twitter and its wake-up policies.
Shares of Twitter were trading at $53.70 on Wednesday, down 1.09 percent from last year.
Bidding on the items opened yesterday at 7am and will end at 10pm tonight.
DailyMail.com has reached out to Twitter for comment.