Twitter CEO Elon Musk on Thursday raised the possibility of the social media platform going bankrupt.
According to Bloomberg News, on his first mass call with employees after buying the company, Musk said that he could not rule out bankruptcy amid dire economic challenges.
Earlier in the day, in his first company-wide email, the billionaire warned that Twitter would not be able to “survive the upcoming economic downturn” if it fails to boost subscription revenue.
Two weeks ago, Musk bought the social media company for $44 billion, a deal that analysts say has left Twitter’s finances in a precarious position.
Musk’s comments come as senior security chiefs Yoel Roth and Robin Wheeler are leaving the company. Chief Privacy Officer Damien Kieran and Chief Compliance Officer Marianne Fogarty also resigned, according to Reuters.
The U.S. Federal Trade Commission said it was watching Twitter with “deep concern” after the privacy and compliance officers quit.
Capping a difficult week, Twitter also paused its new paid verifications service Friday, after pranksters started impersonating brands and people, and rising questions on how Twitter can control fake users and how this business model is going to help its troubled finances.
Twitter launched the $7.99/month Blue subscription service earlier this week in its iPhone app, allowing users to buy a checkmark to show that an account was verified or official.