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author_name|Steve Dent language|en-US provider_name|Engadget region|US site|engadget

Twitter reportedly fails to pay some suppliers amid cost-cutting measures


Elon Musk refuses to pay the hundreds of thousands of dollars in travel bills that Twitter employees saved before he took over the company. New York Times reported. The company is running a serious cost-cutting campaign, and Musk has reportedly placed orders to slow or even stop payments to vendors and contracted services. The move led to complaints from Twitter employees and vendors who owed millions of dollars in repayments.

According to the article, Musk brought in allies from Tesla, his family office, and The Boring Company with the “cut, cut, cut” directive. That’s why Twitter is asking staff to review, renegotiate, or even not pay some outside vendors. NYT‘s resources. Some areas under investigation include computing costs, travel, software services, real estate, and even in-office cafeteria dining.

Twitter is reviewing partnerships with sports leagues like the NFL and NBA, as well as media companies like Condé Nast and Fox. It is also trying to renegotiate deals with tech firms like Amazon and Oracle, which provide computing services. In addition, corporate credit cards were closed, free lunches were abolished and expense report payments were deferred. And the company reportedly failed to deliver the checks it had previously promised to charities.

As part of his purchase of the social network, Musk took out $13 billion in loans with $1 billion in interest payments each year. He told employees that “the future economic picture is bad” and that “bankruptcy is out of the question”. Twitter cut half of its 7,500-strong workforce, saw mass resignations and reportedly terminated majority of their contractors working on most policing content.

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