Last updated: March 5, 2023, 9:44 AM IST
Despite Elon Musk’s efforts to monetize Twitter, the microblogging platform reported a massive 40 percent drop in revenue and adjusted earnings for December 2022, the media reported Saturday.
Several advertisers “dumped the social media platform following the Elon Musk acquisition,” the Wall Street Journal reported, citing people familiar with the matter.
In an update to investors, Twitter reported a 40 percent (year-over-year) decline in both revenue and adjusted profit for December.
The company recently made an initial interest payment to banks that borrowed $13 billion to help Musk buy Twitter.
Twitter did not comment on the report.
Musk predicted in November that Twitter might go bankrupt. He laid off thousands of employees and closed offices around the world to cut costs.
The company had lost half of its top 100 advertisers in less than a month after the billionaire took office. Later, some advertisers returned to the platform.
Musk said last month that Twitter will immediately start sharing ad revenue with creators “for ads appearing in their reply threads.”
Twitter’s CEO apologized for displaying too many irrelevant and annoying ads on the microblogging platform and said the company is taking corrective action to improve the algorithm.
“Sorry to show you so many irrelevant and annoying ads on Twitter! We’re taking the (obvious) corrective action by linking ads to keywords and topics in tweets, like Google does with search. This will dramatically improve contextual relevance ‘ he posted.
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(This story has not been edited by News18 staff and was published from a syndicated news agency feed)