From TechCrunch: X CEO Linda Yaccarino claims that the company formerly known as Twitter is almost breaking even.
“I’ve been at the company eight weeks,” Yaccarino said in her first broadcast interview since taking on her new role. “The operational run rate right now… we’re pretty close to break even.”
This is a surprising declaration, given the company’s financial struggles since its acquisition by Elon Musk. Ad revenue is plummeting as brands pause spending on the platform, and X has gone to desperate lengths to get more cash flow — remember when we all got rate limited for not subscribing to Twitter Blue? Or when the company curbed its developer community by charging exorbitant rates for API access?
But if Yaccarino’s account can be trusted, it seems that X’s financials are shaking out. After all, it did reduce its staff size from around 8,000 to 1,500 — though laid off employees have still yet to receive their promised three months of severance. Those aren’t the only outstanding payments that the company is on the hook for. X is also facing multiple lawsuits over not paying rent for company office spaces in several countries.
“Our data licensing and API with X is an incredible business. Our new subscription business [is] growing,” Yaccarino said. “And then, part of my, what I would say, expertise and experience, and what I came to do, was to drive advertising at the company.”
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