Twitter boss Elon Musk says bankruptcy is not out of the question as he attempts to make his mark on the social media platform.
Musk has reportedly held an all-hands meeting with Twitter employees, in an attempt to find solutions and breathe life back into into the company.
The new owner says his company has financial problems so serious that “bankruptcy is not out of the question”, if Twitter doesn’t start generating significantly more revenue.
Musk purchased the tech platform for a whopping $44 billion. He’s hoping it will have a “net negative cash flow of several billion dollars” by 2023.
He warned employees “without significant subscription revenue, there is a good chance Twitter will not survive the upcoming economic downturn”.
Musk claims Twitter is losing more than $4 million per day. This is as it suffers through a “massive drop in revenue” largely due to companies pausing advertisement deals.
Musk hopes a subscription model will heal Twitter’s financial woes.
The $8-per-month plan for blue ticks likely won’t make much of a dent in the company’s debt payments.
