Twitter CEO steps down
Twitter’s CEO Dick Costolo has decided to step down after 5 years.
Twitter’s co-founder and Chairman Jack Dorsey who is currently the CEO of the startup Square Inc., will step in as the interim CEO.
Word on the street is that this resignation is directly as a result of the company’s stalling growth and Wall Street’s lack of faith in Costolo’s leadership.
4 Oct 2010: Dick Costolo takes over as Twitter’s CEO
On 4 October, Twitter COO Dick Costolo took over as the CEO of the company replacing current CEO and co-founder Evan Williams.
Costolo's promotion came after his attempts to make money for Twitter through advertising platforms reaped huge results.
As the COO, Costolo brought some impressive talent to Twitter like Ali Rowghani, Adam Bain, Mike Abbott and Katie Stanton.
8 Sep 2011: Twitter in for some good times
Twitter CEO Dick Costolo confirmed that the service now has 100 million monthly active users worldwide.
Twitter grew at an astounding rate with its monthly growth of active user count up by 82%.
It also announced a new record of 8868 tweets per minute.
Costolo said that other than the content creators, there are 400 million unique visitors who come to read the tweets.
7 Nov 2013: Twitter goes public
Twitter officially became a publicly traded company on 7 November 2013.
This was the most anticipated IPO since Facebook's entry in 2012.
The company set its initial IPO pricing at $26 and saw the share price open at $45.10 due to strong investor demand.
The initial surge in price gave the company a valuation of more than $24 billion when it began trading shares.
Dec 2014: Signs of trouble in the kingdom of Twitter
Twitter faced a severe backlash from analysts and investors frustrated by the company's slow growth in 2014.
Twitter reported a sharp slowdown in its user growth adding a miniscule 4 million monthly users in the last 3 months of 2014.
Despite the revenue of $1.4 billion in 2014, Twitter lost $578 million.
Twitter's stock fell by almost 25% in April 2014.
12 Jun 2015: Twitter CEO steps down
5 Oct 2015: Twitter announces new CEO: Jack Dorsey
Twitter's three month search of finding a CEO ended with the appointment of Jack Dorsey.
He was crowned as the CEO with a hope to get more traffic and terminate a decade long series of financial losses.
Jack might invalidate the 140 character limit to draw more audience.
However, Dorsey will continue his job as CEO in Square Inc, co-founded by him in 2009.
Fact: About Jack Dorsey
This is the second stint as CEO of Twitter for Jack Dorsey. He was the first CEO till October 2008, after which he became the chairman of the board.
25 Jan 2016: Twitter shakeup: 4 top executives depart
Twitter CEO Jack Dorsey announced that Twitter's four top executives will be leaving the company, "taking some well-deserved time off".
These include "Product Chief Kevin Weil, Head of Engineering Alex Roetter, Vice President of Global Media Katie Jacobs Stanton, and Vice President of Human Resources Skip Schipper".
Dorsey also announced that Twitter COO Adam Bain will be "taking on additional responsibilities" in the interim.
10 Feb 2016: Number of Twitter users slump sequentially
Twitter reported that its monthly active users (MAUs) in the fourth quarter of 2015 stood at 305 million, dropping from 307 million in the previous quarter.
Due to leadership turmoil and stagnating user growth, shares of the company fell 68% over the last year.
News of the diminishing number of users saw the share prices spiraling down by 13%.
26 Apr 2016: Twitter announces Q1 2016 earnings, shares drop
Even with its user base growing more than expected, Twitter's first quarter results for 2016 disappointed Wall Street.
The company posted revenues of $595 million as opposed to the average estimate of $608 million.
Post the announcement, company shares dropped down by 12% in after-hours trading.
Amidst concerns about user and sales growth, Twitter's stock dropped more than 20% this year.
15 Jun 2016: SoundCloud receives $70 million in investments from Twitter
According to technology website Re/code, Twitter Inc invested $70 million in the audio streaming company SoundCloud.
The company's investment was a part of a funding round expected to be in the range of $100 million.
A statement issued by SoundCloud states, "this investment will enable SoundCloud to remain focused on building value for creators and listeners alike".
27 Jul 2016: Twitter releases Second Quarter 2016 earnings
On 26th July, 2016, Twitter released its earnings for SQ16, reporting a growth in user base.
Second-quarter adjusted earnings stood at 13 cents a share, generating a revenue of $602 million.
According to a Thomson Reuters estimate, Wall Street expected Twitter to earn 10 cents a share, with a revenue of $607 million.
Company shares dropped more than 10% after in-hours trading yesterday.