Billionaire Elon Musk has hit a roadblock in his effort to turn a profit on Twitter, the social media giant he acquired last year for $44 billion.
The company is struggling to pay the rent for its offices and is facing a mounting debt burden.
The Silicon Valley giant has been unable to meet the terms of its lease on its San Francisco headquarters and failed to pay rent for office space since Musk took to Twitter last year.
The company has been unable to negotiate a new lease with the landlord and now reportedly owes millions of dollars.
Twitter has hired Heritage Global Partners to auction off items from the Twitter headquarters.
The entire auction page is titled: “Online Auction Sale Featuring Surplus Corporate Office Assets of Twitter!”
The thing that is expected to fetch the most bucks is the Twitter Bird Statue – a regular version as well as a neon light version.
In addition, some random office supplies are on sale, including coffee machines, kitchen equipment, furniture, and more. The 4-feet-tall Twitter bird statue is currently sitting on a bid for $20,500.
The position is indicative of Musk’s leadership of the company. Since his acquisition, he has reduced the company to bare-bones operations, and employees are under a “zero-based budget” to justify any spending.
General Motors and Volkswagen have halted their Twitter spending since Musk’s arrival.
Musk has blamed the activists for the drop in revenue, claiming they sought to “mislead the public” and “undermine business”.
They have also sought to find new revenue streams, such as selling merchandise and charging for access to exclusive content.
The billionaire’s leadership of the social media platform has been marked by tension and chaos.
Critics worry that Musk will remove important safeguards against hate speech, online harassment and incitement to violence, and weaken the company’s standards for content moderation.
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Information Source: BusinessToday
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