Twitter's daily revenue decreased by 40% year-on-year, revealing that more than 500 top advertisers suspended advertising spending

It has been reported that Twitter's earnings have deteriorated since Elon Musk became CEO in October 2022 as advertisers left . According to overseas media The Information, Twitter's senior manager told employees that their daily earnings had decreased by 40% year-on-year, emphasizing the crisis situation.

Over 500 advertisers have paused spending on Twitter- The Information | Reuters
https://www.reuters.com/technology/twitters-revenue-down-40-year-over-year-platformer-reporter-2023-01-18/

Twitter Manager: Daily Revenue Has Dropped 40%, 500 Top Advertisers Have Left — The Information
https://www.theinformation.com/articles/twitter-manager-daily-revenue-has-dropped-40-500-top-advertisers-have-left

Twitter hit by 40% revenue drop amid ad squeeze, say reports | Twitter |
https://www.theguardian.com/technology/2023/jan/18/twitter-revenue-drop-advertising-squeeze-elon-musk

A Twitter ad executive reportedly told employees that Q4 revenue fell 35% from a year earlier
https://finance.yahoo.com/news/twitter-ad-executive-reportedly-told-194348859.html

After becoming CEO of Twitter, Mr. Mask carried out a large-scale unfreezing of previously frozen accounts, as well as a mass dismissal of personnel involved in content moderation . As a result, various changes have occurred on Twitter, and it has been reported that political trends have decreased in Japan and hate speech has increased in India.

Earon Mask's Twitter reforms are causing changes around the world, such as ``decrease in political trends in Japan'' and ``increase in hate speech in India''-GIGAZINE

Twitter relies on advertising revenue for more than 90% of its sales, and is a company whose revenue is based on advertising. However, with Mr. Mask's appointment as CEO, who emphasizes freedom of speech, advertisers who feared that Twitter would become a lawless area have stopped placing advertisements one after another . In December 2022, it is clear that World Cup-related advertising revenue was 80% below forecast.

It is reported that Twitter's World Cup-related advertising revenue is 80% lower than expected - GIGAZINE

According to a person inside Twitter who testified to The Information, a senior manager at Twitter told employees that revenue on Tuesday, January 17, 2023 was down 40% compared to the same day last year, and the advertising business was in crisis. He said he emphasized that he was facing

It was also reported that revenue in the fourth quarter of 2022 was $ 1.025 billion (about 131.7 billion yen), just 72% of the internal target, down about 35% year-on-year. Chris Riedy, Twitter's head of global sales and marketing, said Twitter expects revenue of $732 million in the first quarter of 2023, but this figure is up from the same period last year. It is said that it has decreased by 39% since.

Siddharth Rao, an engineering manager involved in Twitter's advertising business, also said at a staff meeting on the 17th that more than 500 major advertisers have paused advertising since Musk took over as CEO. The Guardian, a major British newspaper, points out that luxury car makers Audi and Pfizer, which developed a new coronavirus infectious disease (COVID-19) vaccine, have stopped advertising on Twitter.

Twitter is looking for an alternative revenue reduction while suffering from deteriorating advertising revenue, and has renewed and expanded the paid subscription Twitter Blue . Also, there is a plan to sell user names starting with '@' at auction.

While Twitter plans to sell user names at auction, Mr. Mask said in the past that he wants to release 1.5 billion user names - GIGAZINE

However, Twitter is in a situation where the rent of offices around the world is in arrears, and it is also reported that employees were ordered to leave at the Asian headquarters in Singapore.

Staff at Twitter Asia headquarters are ordered to leave for non-payment of rent - GIGAZINE

In addition, Twitter has a debt of $ 13 billion (about 1.7 trillion yen) at the time of Mr. Mask's acquisition, and it is necessary to pay interest of $ 1.5 billion (about 200 billion yen) at the end of January 2023 at the earliest. ... apparently ...

The first payment date of about 1.7 trillion yen debt interest that occurred at the time of Twitter acquisition will soon come - GIGAZINE