Musk could not have picked a worse time to overpay for Twitter
Twitter is the only social media stock that hasn’t completely cratered this year, despite the fact that all signs point to 2022 being particularly brutal for the tech giant.: The company's dramatic deal with Elon Musk has overshadowed its business challenges. But when you peel back the curtain, it's clear that .
"I just think it's become a place where there is a lack of investment in consistent leadership," said Leslie Miley, a former engineering manager, in the latest podcast episode ofDriving the news:through the social media industry, after the tech giant said it saw a pullback last quarter on brand ad spending, or ads that tout a company's reputation rather than trying to sell a product directly.
While the company still hasn't stated whether it will publish an earnings report for the third quarter, it's safe to assume that its current share price doesn't reflect the havoc that the economy is likely wreaking on its ads business.The tech giant has pushed to diversify its revenue in recent months with subscriptions. But those products, like Twitter Blue and Super Follows, haven't gained significant traction.
By comparison, Snap said last week that its subscription service, Snapchat+, had over 1.5 million paying subscribers last quarter. : Monthly downloads to Twitter have remained consistent over the past year, per Apptopia, and the company says it has continue to grow its user base this year, even after record pandemic growth.