Twitter ad revenue cut in half – News Block

twitter owner Elon Musk recently confirmed that the social media platform has lost half of its ad revenue.

Responding to a question about debt refactoring, Musk said the company is “negative cash flow due to a 50% drop in ad revenue” and said Twitter hasn’t had any positive cash flow. In March, the CEO made a prediction that Twitter will reach positive cash flow in the second quarter of 2023, but so far it hasn’t “hit the mark” yet.

The social media platform’s debt problem was compounded by interest payments when Musk bought the company and took it private. Reuters reports that the annual payment is around $1.5 billion. Plus, there’s a 50% drop in ad revenue because the company parted ways with advertisers after Musk took over. Apple is believed to have been one of those who left the platform and then returned. Recently, Twitter has seen competition from Meta’s recently launched Threads platform.