It’s not even two weeks since Elon Musk completed his procurement of Twitter, and there are worries that the company is ignoring key risks in its best-selling international markets.
The California-based company cut thousands of employees on Friday, including staff in India and Africa. Twitter has been known to have a stormy association with governments in these regions, and tech experts fear that without enough staff, tweets will represent fewer people’s opinions and misinformation.
Twitter laid off, moreover 90% of its employees in India over the weekend, as per our source of information.
As per The Economic Times newspaper report, Twitter had let go of 180 employees in the country after two days, citing unnamed sources.
Some experts say that cutting jobs at Twitter is terrible news for the company and its users in international markets.
Twitter, by doing this, has sent a “clear signal,” and it won’t be investing in public policy or online safety teams anymore.
Twitter clearly seems to be under threat in critical markets
The latest round of layoffs will affect Twitter’s ad sales team, which is responsible for generating revenue from advertisers. This could have a negative impact on Twitter’s business in some of its most lucrative markets, such as India, United States, and Japan.
Though they denied it, even before the layoffs, Twitter was going through some tough times, especially in India and Africa.
The government of India has stepped up its social media and messaging app crackdown from last year. American tech firms fear that the country’s rules will lead to a loss of privacy, which could usher in mass surveillance and data mining for the world’s fastest-growing digital market. India claims it’s trying to maintain national security.
As a result, Twitter was locked in a months-long standoff with Prime Minister Narendra Modi’s government above all of its orders to remove content. This year, a legal challenge over orders to block content was set in motion.
“Musk’s simplistic consideration of freedom of speech coupled with his desire to bring other businesses to India and secure licensing for them,” make it hard for Twitter to push back. This is why the company is looking into tweaking some of its policies.
In addition, the layoffs could create morale issues among the remaining employees. Twitter will need to work hard to retain its top talent and ensure that its workforce is motivated to continue driving growth. Otherwise, the company risks further declining stock prices and an even bleaker future.
Additionally, the layoffs could also lead to a deterioration of the user experience on Twitter, as fewer staff members will be available to provide customer support or address technical issues.
Twitter has invested in partnerships with news organisations and other content providers in India. It has also been working on ways to make its service more accessible to users in rural areas.
The markets that could be affected by the layoffs are the stock market, the bond market, and the currency market. The stock market could be affected because investors may sell their Twitter stock shares if they believe the company is in trouble. The bond market could be affected because lenders may be less likely to lend to Twitter if they think the company is in trouble. The currency market could be affected because the US dollar value could rise if investors believe that Twitter is in trouble.
The layoffs could have a negative impact on Twitter’s efforts to grow in these critical markets.
Apart from this, Worldwide, there is concern about the effects these layoffs will have on misinformation.
In the United States, there are worries that chaos within Twitter could weaken its safeguards for the coming midterm elections. There are similar concerns in India, where social media activity is expected to increase as the country prepares for major state elections in the coming months.
Twitter’s future is uncertain, and the company must find a way to turn its business around if it wants to stay afloat.