Elon Musk told Twitter employees on Thursday that the company could have a “negative net cash flow of several billion dollars” next year, adding that “bankruptcy is not out of the question” if the company can’t “bring in more cash than how much we spend.
“We can’t go to a billion users and take massive losses along the way, that’s not feasible,” Musk said, speaking at a joint meeting for Twitter’s product team. But “if you have a compelling product, people will buy it. That’s been my experience at SpaceX and Tesla,” he said, adding that making Twitter more compelling includes adding video content and making Twitter more of a home for content creators by improving how they’re compensated.
