Elon Musk told Twitter employees that the economic outlook appears “dire” while sharing an update on the social media company Wednesday, according to The New York Times.
Musk wrote that “there is no way to sugarcoat the message,” adding, “The economic picture ahead is dire,” the newspaper reported.
The new Twitter CEO also mentioned the prospect of bankruptcy at a staff meeting on Thursday, saying the company was running a negative cash flow of several billion dollars, the Times reported.
Musk claimed that his recent decision to sell nearly $4 billion worth of Tesla stock was intended to help “save” Twitter.
Musk took over Twitter late last month after finalizing his $44 billion acquisition of the company. The billionaire has made several controversial moves in his first weeks, including laying off about 50 percent of Twitter’s staff.
He told employees at Thursday’s meeting that the company is still overstaffed and that it needed to be more “hard-core,” according to the Times. The day before, Musk also told staff via email that remote work would no longer be permitted.
The self-described “free-speech absolutist” has also announced several proposed changes to the Twitter platform itself, including moving to shift the platform’s “blue check” verification to a paid subscription service.