Twitter CEO gives up $200M in stock for company employees
Dorsey himself has had a chequered career with Twitter, having been fired from the position of CEO in 2008.
To push its revenues further, the micro-blogging firm has come up with or is working on many new monetization initiatives, such as the eCommerce Buy Button, Twitter Audience Platform, Doubleclick, better targeting and search integration, video ads and Carousel ad units.
Twitter earnings provide stubborn bulls plenty of evidence that the tech company is slowing, not growing. He returned to Twitter as Executive Chairman in 2011 and became its Interim CEO following the resignation and departure of Dick Costelo in July 2015. You think Twitter earnings will make Twitter stock more attractive under that mindset?
While Morales and IBM may be Twitter power users, new products could continue to pull in and draw back new and old users.
Jim Hart, CEO of Senn Delaney, which advises companies on how to shape their cultures, said Dorsey was using his shares to essentially ask key employees “to stay the course with me”. At the time, Dorsey said: “This is unacceptable and we’re not happy about it”. The layoffs may have lowered the employees’ confidence in the company, but this move shows that Dorsey is looking out for them. This restructuring is part of an overall plan to organize around Twitter’s top product priorities and drive efficiencies throughout the company. In a tweet Dorsey said he’s interested in reinvesting directly in the people who work for Twitter.
He cautioned the extra stock would not take the place of Twitter fixing the company’s business model, and if the shares decline, the gesture could fall flat.
For years, Twitter’s leaders have readily admitted that its service can seem awkward and unorganized to many users.
Twitter is just five months shy of celebrating its 10th birthday, and it’s hard to predict how well this “reset” with developers will play out. But what about people who don’t like surprises – say, Wall Street analysts or investors? That’s when he and Twitter’s CFO Anthony Noto dropped the dour news about the lengthy turnaround the company faces.
While I am a regular user of the social media platform, Twitter earnings keep proving that TWTR stock is a doomed investment that investors should avoid at all costs. Unfortunately for Twitter, the strategy (or lack thereof) that he and other leaders at the company have set forth of late did little to suggest the level of significance they aim to achieve.