The financial woes for Twitter appear to be continuing as owner Elon Musk announced the platform is experiencing a nearly 50 percent drop in advertising revenue as it struggles with heavy debt load, reports The Hill.
“We’re still negative cash flow, due to ~50% drop in advertising revenue plus heavy debt load. Need to reach positive cash flow before we have the luxury of anything else,” Twitter owner Musk wrote in a tweet.
After taking over the company in October, the billionaire made a series of controversial choices, including mass layoffs, firing top executives and launching the Twitter Blue program, which requires users to pay a monthly subscription for the verification check. Musk also pulled back on various content moderation measures, reinstating previously suspended accounts like that of former President Trump, while limiting how many tweets users can read in a day.