Twitter has been sued for more than 1.8 billion yen in delinquency from landlords, consultants and vendors

Twitter, which is working on thorough cost reduction under Elon Mask CEO, is facing a lawsuit regarding payments totaling more than $ 14 million (about 1.88 billion yen), such as unpaid rent and consulting fees.

Under Elon Musk, Twitter Faces Suits Claiming Over $14 Million in Unpaid Bills - WSJ

The lawsuits are against the landlords, consultants and vendors of the buildings where Twitter has offices. Twitter is facing nine lawsuits at the time of writing, totaling $14 million plus interest.

In an email to employees on November 10, 2022, Musk explained that the company's financial situation was dire, and said that if things didn't improve, Twitter could go bankrupt in 2023. I'm here.

So far, Musk has addressed past financial challenges by putting pressure on landlords, suppliers and vendors to cut costs and extending payment deadlines. Three of the lawsuits against Twitter in the United States are about unpaid rent of about $ 6.8 million (about 900 million yen) in December 2022 and January 2023 at Twitter's San Francisco headquarters.

Twitter sued for delinquency of over 800 million yen in rent at headquarters, lawsuits in London and other offices - GIGAZINE

Since November 2022, when Mr. Mask acquired Twitter, Twitter has carried out a large-scale personnel reduction by Mr. Mask, and has significantly reduced expenses, including meals at the headquarters.

The company's financials are improving as a result of Musk's drastic cost cuts, and Musk said, ``Twitter still has challenges, but if we continue to do it, we could reach break-even .'' said.

At the time of writing, Twitter has not disclosed the details of its financial situation. However, Twitter in 2023 reports in 2022 that it is paying $ 239 million (about 32.1 billion yen) for office and data center facilities.

A Twitter spokesperson and Musk declined to comment on the lawsuits.

in Web Service, Posted by log1r_ut