Twitter CEO Parag Agrawal announced a hiring freeze and other cost-cutting measures on Thursday, as the company looks to refocus into the Elon Musk takeover.
According to Bloomberg, the company won't hire new employees - and may rescind open offers, according to an internal memo. Exceptions may be made for business-critical roles.
Costs to be eliminated include travel, consulting and marketing expenses.
Agrawal said global events, including the war in Ukraine and the supply chain crunch, have hurt Twitter’s business results and may continue to do so. The company isn’t planning company-wide job cuts, “but leaders will continue making changes to their organizations to improve efficiencies as needed,” Agrawal wrote.
“At the beginning of the pandemic in 2020, the decision was made to invest aggressively to deliver big growth in audience and revenue, and as a company we did not hit intermediate milestones that enable confidence in these goals,” Agrawal said. “In order to responsibly manage the organization as we sharpen our roadmaps and our work, we need to continue to be intentional about our teams, hiring and costs.” -Bloomberg
Meanwhile, two key employees are leaving; Bruce Falck who was in charge of revenue, and Kayvon Beykpour - Twitter's head of consumer product who said in a lengthy Twitter thread that he was fired.
The truth is that this isn’t how and when I imagined leaving Twitter, and this wasn’t my decision. Parag asked me to leave after letting me know that he wants to take the team in a different direction.
— Kayvon Beykpour (@kayvz) May 12, 2022
Replacing both will be Jay Sullivan, who will serve as head of product and interim head of revenue. Sullivan has previously talked about the company taking on fewer products, according to a person familiar with the matter.
Sullivan recently replied to a Twitter thread by Elon Musk and former CEO Jack Dorsey in which he said "algorithmic choice and transparency is right direction, and where we are headed."
Yes, algorithmic choice and transparency is right direction, and where we are headed.
— Jay Sullivan (@jaysullivan) May 12, 2022
Yes, algorithmic choice and transparency is right direction, and where we are headed.
— Jay Sullivan (@jaysullivan) May 12, 2022
Twitter's move echoes a recent announcement by Meta, which said that it would reduce planned expenditures.
Twitter CEO Parag Agrawal announced a hiring freeze and other cost-cutting measures on Thursday, as the company looks to refocus into the Elon Musk takeover.
According to Bloomberg, the company won’t hire new employees – and may rescind open offers, according to an internal memo. Exceptions may be made for business-critical roles.
Costs to be eliminated include travel, consulting and marketing expenses.
Agrawal said global events, including the war in Ukraine and the supply chain crunch, have hurt Twitter’s business results and may continue to do so. The company isn’t planning company-wide job cuts, “but leaders will continue making changes to their organizations to improve efficiencies as needed,” Agrawal wrote.
“At the beginning of the pandemic in 2020, the decision was made to invest aggressively to deliver big growth in audience and revenue, and as a company we did not hit intermediate milestones that enable confidence in these goals,” Agrawal said. “In order to responsibly manage the organization as we sharpen our roadmaps and our work, we need to continue to be intentional about our teams, hiring and costs.” -Bloomberg
Meanwhile, two key employees are leaving; Bruce Falck who was in charge of revenue, and Kayvon Beykpour – Twitter’s head of consumer product who said in a lengthy Twitter thread that he was fired.
The truth is that this isn’t how and when I imagined leaving Twitter, and this wasn’t my decision. Parag asked me to leave after letting me know that he wants to take the team in a different direction.
— Kayvon Beykpour (@kayvz) May 12, 2022
Replacing both will be Jay Sullivan, who will serve as head of product and interim head of revenue. Sullivan has previously talked about the company taking on fewer products, according to a person familiar with the matter.
Sullivan recently replied to a Twitter thread by Elon Musk and former CEO Jack Dorsey in which he said “algorithmic choice and transparency is right direction, and where we are headed.”
Yes, algorithmic choice and transparency is right direction, and where we are headed.
— Jay Sullivan (@jaysullivan) May 12, 2022
Yes, algorithmic choice and transparency is right direction, and where we are headed.
— Jay Sullivan (@jaysullivan) May 12, 2022
Twitter’s move echoes a recent announcement by Meta, which said that it would reduce planned expenditures.
