Elon Musk: Twitter Facing Huge Advertising Loss. Elon Musk, a billionaire who just bought Twitter, has admitted that the social media site is losing advertising revenue and has a negative cash flow.
Musk mentioned that Twitter’s cash flow impacted by its sizable debt as well as a sizable 50% decline in advertising revenue.
This admission made in response to a tweet from Sophie, who advised Musk to form a group of investors who share his goals for the website and take action to improve its financial situation.
Threads crosses record 100 Million Signups in 5 days
In response, Musk said that because of the sharp decline in advertising revenue and the weight of its significant debt, Twitter is still operating with a negative cash flow.
He emphasized that before considering other initiatives, Twitter should focus on generating a positive cash flow.