Discussion

• @jimmyjazz1968 Gore Vidal Sassoon on x

  Come on, lmao https://twitter.com/...

• @scottnover Scott Nover on x

  I don't think Elon Musk realizes how much money he's going to lose on Twitter at this rate.

• @jimmyjazz1968 Gore Vidal Sassoon on x

  I'm just some dude, but it is IMPOSSIBLE to even break even on this site with that kind of debt. And that was BEFORE huge increases in interest rates and a global recession. It is not IF but WHEN Twitter is sold at a massive loss https://www.nytimes.com/... https://twitter.com/..…

• @obrien Chris O'Brien on x

  Bottom line: Twitter now must make $1bn in interest payments on the debt that Musk saddled the company with. The company has rarely turned a profit in its history and doesn't generate enough cash. So he has to slash expenses (layoffs) and generate new income (user fees) asap.

• @dasvee @dasvee on x

  Interest on debt used to buy twitter= $1 billion a year. Cash generation last year: $630 million Musk has to find an extra $370million per year profit to break even. That's a 58% increase in profit. https://www.nytimes.com/... https://twitter.com/...

• @ncweaver Nicholas Weaver on x

  Twitter he just literally lit $40B of his own money on fire, either as his direct cash contribution (about half), or debt that he is undoubtedly personally liable for (the other half), and is doing his best to crater the value as quickly as possible.

• @obrien Chris O'Brien on x

  People will analyze Musk's move through the lens of ideology and politics (and his idiocy). But fundamentally, he made a bad business deal, and now his back is up against the wall. Good breakdown here: https://www.nytimes.com/... https://twitter.com/...

• @film_girl Chriscreama Warren on x

  Labor attorneys please explain to me how Elon could do mass layoffs before vesting dates without filing WARN notices with the feds or the state? I've checked the data and there is nothing filed in California, New York or Washington states and the law is pretty clear on this.

• @gartmartin9 Art Martin on x

  @RonFilipkowski NYT is reporting that Musk is trying to stiff them on the severance..(let the litigation begin...) https://www.nytimes.com/...

• @clarajeffery Clara Jeffery on x

  The economics Musk faces are brutal/of his own making https://twitter.com/...

• @allanbell247 Allan Bell on x

  This is why I wouldn't concern yourself about any monthly charge “reports.” 15% of Twitter users make up 80+% of content ($) and trust me, other platforms will pay to have them in full. Nothing will come of it, Elon throws temper tantrums often and doesn't follow through. https:/…

• @russbengtson @russbengtson on x

  he should charge you guys a billion dollars a year to keep posting https://twitter.com/...

• @carnage4life Dare Obasanjo on x

  This is either going to be the most amazing turnaround in business history or the most amazing hubris driven train wreck ever. Either way, it's going to be an entertaining ride for Twitter watchers.

• @ncweaver Nicholas Weaver on x

  I'd bet money that, in 5 years, @elonmusk will have to declare personal bankruptcy. Its not 100%, but it is certainly non-trivial odds. Why? Because his assets are inflated but his debts are very real...

• @matthew_d_green Matthew Green on x

  Folks. I don't know how to say this, but: I'm starting to think Elon Musk might not be a very good businessman.

• @laurenshirsch Lauren Hirsch on x

  I took a look at the numbers behind the largest tech LBO ever. They're tough to make work. https://www.nytimes.com/...

• @carnage4life Dare Obasanjo on x

  Twitter posted a net loss of $221 million in 2021, which is better than the $1.1 billion loss it reported in 2020. Twitter now needs to pay $1 billion/year in interest payments for the money used to acquire it. That's going to be quite the magic trick. https://www.nytimes.com/...

• @traskjd John-Daniel Trask on x

  Not a magic trick if you can read a profit and loss statement. Twitters salary expenses are astronomical. https://twitter.com/...

• @briantashman Brian Tashman on x

  Musk says he has amazing, secret plans to make Twitter more successful... but also wants to cut workforce dramatically, so there will be few people to create new tools, and doesn't have much money to work with since it's mostly going towards servicing debt https://www.nytimes.com…

• @nytimes @nytimes on x

  Elon Musk faces financial challenges in owning Twitter. The site frequently loses money and took on $13 billion in debt for the blockbuster deal. If the financial case is grim, any investment plans may have to take a back seat to simply paying the bills. https://www.nytimes.com/.…