Twitter workforce may be cut nearly 75% by Elon Musk: report
The Tesla CEO first offered to buy and take Twitter private earlier this year
Evercore ISI fundamental research analyst Mark Mahaney and EVannex CEO Matt Pressman join 'The Claman Countdown' to react to Musk addressing his potential Twitter deal on Tesla's Q3 earnings call.
Billionaire Elon Musk reportedly said he had plans to cut Twitter’s workforce by almost 75% should his deal to buy the social media platform close.
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While speaking to potential investors, Musk said he planned to reduce Twitter’s staffing from about 7,500 to around 2,000 employees, a nearly 75% decrease, according to The Washington Post.
The outlet cited interviews and documents as the basis of its reporting published Thursday.
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Elon Musk, Tesla CEO, attends the opening of the Tesla factory Berlin Brandenburg in Gruenheide, Germany, March 22, 2022. (Patrick Pleul/Pool via AP / AP Newsroom)
Musk offered to buy Twitter in April and sought to end the acquisition a few months later, resulting in a legal battle between him and the company.
In a reversal, he said earlier this month he would go through with the original deal.
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The Delaware Court of Chancery has given Musk, who also heads Tesla and SpaceX, until Oct. 28 to close the deal. Otherwise, there will be a trial in November.
The Twitter application is seen on a phone April 25 in San Diego. (AP Photo/Gregory Bull, File / AP Newsroom)
FOX Business reached out to Tesla seeking Musk’s comment.
On Tesla’s earnings call Wednesday, Musk said he was "excited about the Twitter situation."
"I think it’s an asset that has sort of languished for a long time but has incredible potential," he said. "Although obviously myself and the other investors are obviously overpaying for it right now, the long-term potential for Twitter in my view is an order of magnitude greater than its current value."
SpaceX founder Elon Musk after a T-Mobile and SpaceX joint event Aug. 25, 2022, in Boca Chica Beach, Texas. (Michael Gonzalez/Getty Images / Getty Images)
ELON MUSK SAYS HE'S ‘OBVIOUSLY OVERPAYING’ FOR TWITTER BUT TOUTS PLATFORMS ‘INCREDIBLE POTENTIAL’
Twitter officials planned to take cost-cutting measures even in the event the Musk acquisition doesn’t close, the Washington Post reported. The company reportedly planned a roughly $800 million cut in payroll by the end of 2023.
FOX Business also reached out to Twitter for comment.