Friday, October 28, 2016
Twitter Execs not good enough
At least not good enough for Wall St. The massive social media operation has not turned in the unreasonable profits expected by the big swinging dicks of America's financial center. So the Twits will do what every corporation does when the execs fail, layoff workers.
When Twitter reported its third-quarter results on Thursday, an answer started to emerge: The company has to go it alone — and do it by slimming down and stemming losses so that it can ultimately make money.Regardless of whether Mr Dorsey succeeds, he will probably end up with a pile of money for his less than stellar efforts.
Twitter said it planned to cut 350 jobs, or roughly 9 percent of its global work force, as it tries to revamp the company and become profitable. The earnings also showed budding signs of progress, as user growth and revenue rose more than Wall Street had anticipated.
At the same time, Twitter is beginning to pare back businesses it no longer views as central. The company said it would discontinue the mobile app Vine, the application for sharing six-second videos that Twitter acquired and introduced in 2013. While Vine gained early traction with young users, the app did not reliably make money.
“We see a significant opportunity to increase growth as we continue to improve the core service,” Jack Dorsey, the chief executive of Twitter, said in a statement. “We have a clear plan, and we’re making the necessary changes to ensure Twitter is positioned for long-term growth.”
In a conference call with analysts on Thursday, Mr. Dorsey also swept aside any questions about the takeover discussions around the company. His focus, he said, was bringing Twitter to profitability as soon as next year.
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