Elon Musk Says Twitter Hemorrhaging Money, May Charge For DMs

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SpaceX founder Elon Musk during a T-Mobile and SpaceX joint event on August 25, 2022 in Boca Chica Beach, Texas. The two companies announced plans to work together to provide T-Mobile cellular service using Starlink satellites. (Photo by Michael Gonzalez/Getty Images)

Elon Musk has laid off a massive number of Twitter employees.

Elon Musk is making big changes at Twitter. The world's richest man made good on his promise to buy the social media company, and he's been stirring up controversy ever since. As a result, the future of Twitter looks precarious.

As part of his overhaul of the app, Musk fired thousands of Twitter employees. Now, he's offered an explanation for the radical move. According to the billionaire, the social media behemoth was losing a lot of money.

NEW YORK, NEW YORK - MAY 02: Elon Musk attends The 2022 Met Gala Celebrating "In America: An Anthology of Fashion" at The Metropolitan Museum of Art on May 02, 2022 in New York City. (Photo by Dimitrios Kambouris/Getty Images for The Met Museum/Vogue)

The Tesla mogul broke his silence on Friday night and claimed that the app was hemorrhaging over $4 million a day. Because of this, Elon saw his hands as tied.

Musk also claimed that those who were laid off were given 3 months of severance pay. He argues this is quite generous, as it's "50% more than legally required." On the other hand, critics have pointed out that some of the roles he's cut are vital to the company's commitment to free and equitable speech, a commitment which Musk said he wanted to further.

Shannon Singh took to Twitter, her former place of employment, to give insight into who was getting the axe at the company. "Yesterday was my last day at Twitter: the entire Human Rights team has been cut from the company," she wrote.

The lay offs aren't the only change at the company. Accord to a report from the New York Times, the social media platform is now toying with the idea of paid direct messaging. According to sources "with knowledge of the matter," the app may soon charge users to send DMs to high-profile figures.

In one early prototype, a user asks Post Malone about his favorite records, and the message appears in a separate box designated to paid direct messages. The cost has yet to be decided, but some say that it could be "as little as a few dollars." It's unclear if the company will follow through with the idea.

Musk bought Twitter for $44 billion after previously trying to worm his way out of the deal. He's since floated ideas like an $8-a-month fee for "verified" badges, which received a lot of pushback.

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