Elon Musk grapples with Twitter funds as executives leave


Twitter suffered an exodus from other executives on Thursday, while its latest billionaire owner Elon Musk warned that bankruptcy was possible because it struggles to manage the platform’s funds.

In one of the painful days for Twitter, since Musk finalized his $ 44 billion buyout of a social media company two weeks ago, its chief of trust and security, Yoel Roth, has resigned, in response to two accustomed to the situation. Roth later appeared to substantiate his departure, changing his Twitter biography to “Former Head of Trust and Security.”

Roth has turn into one among Musk’s trusted leaders after Tesla’s boss laid off greater than half of Twitter’s 7,500 employees last week, and was instrumental in attempting to reassure cautious advertisers that toxic content doesn’t overwhelm the platform.

Twitter’s chief information security officer Lea Kissner and Privacy Director Damien Kieran announced they’d left on Thursday, while Twitter’s chief compliance officer had also left, in response to one person accustomed to the matter. While some media reports said Robin Wheeler, who took over the helm of the Twitter ad sales team, also left the corporate, later tweeted: “I’m still here.”

Individually, during a gathering on Thursday with some engineers, Musk warned that the corporate could have a negative net money flow of several billion dollars, adding that bankruptcy shouldn’t be out of the query in response to someone accustomed to the case. Comments were first reported by The Information.

“Truthfully, it looks like chaos,” said one worker, who added all, “It was only a chaotic inconsistency.”

The stream of exits closes a tumultuous two weeks on Twitter as concerns about data security and privacy compliance are mounting, especially considering the speed with which the platform has rolled out some features since its acquisition of Musk.

The US Federal Trade Commission, a number one regulator of consumer protection, said Thursday it was “following the most recent developments on Twitter with deep concern.” Twitter signed a strict consent decree in 2011 committing itself to higher protection of user data, which the regulator continues to oversee.

“No CEO or company is above the law, and firms must abide by our consent decrees,” added the FTC. “Our revised consent order gives us latest compliance tools and we’re able to use them.”

Individually, the corporate’s lawyer warned on a Slack channel that Musk is taking a lighthearted approach to privacy laws and that the corporate could potentially face significant penalties from the FTC, in response to a report by The Verge, which was confirmed by the one that viewed the post.

Beyond legal concerns, Musk, the self-proclaimed “freedom of speech absolutist,” faces a difficult battle to revive the already troubled Twitter business.

Already on Friday, he warned of a “huge drop in revenue” as major brands comparable to General Motors, Mondelez and Carlsberg held up spending on the platform over concerns over its plans to loosen content moderation.

He faces $ 1 billion in annual interest payments after he burdened the corporate with $ 13 billion in debt to assist finance the corporate’s acquisition.

Meanwhile, Musk’s attempts to open up latest revenue streams face obstacles. The introduction of Twitter Blue, a premium subscription service that costs $ 7.99 monthly that features a “blue check” previously only available to famous users, brands, and celebrities, has already triggered some spoofing attempts. Eli Lilly He apologised “To those given a misleading message from Lilly’s fake account,” which says the drug manufacturer is making a gift of free insulin.

Critics warn that the departure from the previous blue checkered model may also alienate famous characters that Twitter needs to draw its audience.

Musk first addressed Twitter employees on Thursday in an email spotted by the Financial Times, warning that the social media platform needed “exertions” within the office to show the tide.

He added that he’s giving up on domestic politics and requiring employees to work 40 hours per week within the office, which has had a major impact on his working practices.

On the meeting on Thursday, Musk added that failure to seem on the office could be considered a resignation. Departures were first reported by The Verge and Platformer.

Twitter didn’t immediately reply to a request for comment.

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