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Musk warns Twitter could face bankruptcy

twitter-1500-800-1200×640.jpg 1200w” sizes=”(max-width: 1500px) 100vw, 1500px”/Twitter’s new owner, Elon Musk, has raised the possibility of the social media platform going bankrupt, capping a chaotic day that included a warning from a US privacy regulator and the exit of the company’s trust and safety leader.

The billionaire on his first mass call with employees said that he could not rule out bankruptcy, Bloomberg News reported, two weeks after buying it for US$44-billion — a deal that credit experts say has left Twitter’s finances in a precarious position.

Earlier in the day, in his first company-wide e-mail, Musk warned that Twitter would not be able to “survive the upcoming economic downturn” if it fails to boost subscription revenue to offset falling advertising income, three people who have seen the message said.

Yoel Roth, who has overseen Twitter’s response to combat hate speech, misinformation and spam on the service, resigned on Thursday, two people familiar with the matter said.

In his Twitter profile on Thursday, Roth described himself as “Former Head of Trust & Safety” at the company. Roth did not respond to requests for comment.

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