Arab Today, arab today twitter ceo costolo out as growth pressure mounts
Last Updated : GMT 13:04:20
Arab Today, arab today
Arab Today, arab today

Twitter CEO Costolo out as growth pressure mounts

Arab Today, arab today

Arab Today, arab today Twitter CEO Costolo out as growth pressure mounts

Twitter CEO Dick Costolo
San Francisco - AFP

Twitter chief executive Dick Costolo is surrendering his post, handing the reins back to co-founder Jack Dorsey as the popular service struggles to boost ranks of users.

Costolo will officially step down on July 1, and Dorsey will take back the Twitter chief job in an interim capacity, the company announced Thursday.

Dorsey previously held the job for about a year and a half, leaving the post in 2008. Costolo came on board in 2010.

"The future belongs to Twitter thanks in large part to Dick Costolo's dedication and vision," Dorsey said in a release.

"We have an exciting lineup of products and initiatives coming to market, and I look forward to continuing to execute our strategy."

Dorsey said he will stay at the Twitter helm while the board finds someone to replace Costolo long-term.

Costolo will remain on the Twitter board of directors, and Dorsey will continue to be chief of mobile-centered financial transactions company Square that he co-founded in 2009.

The shake-up comes amid rumors that Costolo was under tremendous pressure from investors to prove his worth by ramping ranks of Twitter users and revenues brought in by the globally popular one-to-many messaging service.

"Unfortunately this news isn't surprising," Forrester analyst Nate Elliott said.

"The bottom line is that Twitter isn't very good right now at serving either its users or its marketers."

Costolo guided the San Francisco-based firm through its initial public offering, but growth has been disappointing and the company has yet to show a profit.

Twitter shares jumped more than four percent to $37.59 in after-market trading that followed release of word Costolo is out as chief.

- Holding course -

Dorsey said during a conference call that he will split his time between Twitter and Square, relying on management teams he knows and trusts.

He expressed faith in the strategy Costolo has in place at Twitter and products in the company's pipeline.

"I don't foresee any changes in strategy or direction," Dorsey said.

"The opportunity is absolutely massive. The intention is to certainly bring it to everyone around the world."

The plan to do that includes making Twitter easy and rewarding for users, according to Dorsey.

"If we build a product people love and value, advertisers and users will follow," Dorsey said.

Costolo said he began discussing departure with the board late last year and opted to step down now because remaining during a search for a successor would have been too distracting to the company.

Criteria had yet to be established regarding what Twitter is looking for in a new chief, according to Dorsey.

"We are looking for someone who really uses and loves the product in every single way," Dorsey said.

"That is going to be a huge attribute the search committee is looking for."

- Slowing growth -

Industry tracker eMarketer estimated that the number of people using Twitter monthly will grow 14.1 percent this year, compared to a growth rate of 30 percent two years ago.

By 2019, Twitter user growth will slow to about six percent worldwide, eMarketer forecast.

The company said the number of active monthly users rose above 300 million, but that figure has been growing at a pace too sluggish for many investors, and below rivals in social networking.

Twitter's share of the $145 billion spent on digital advertising around the world this year is slightly less than one percent, up from just shy of a half-percent last year, eMarketer reported.

In comparison, Facebook increased its share of the worldwide digital ad market to 7.9 percent this year from 5.8 percent in 2013, according to the industry tracker, which said Google led the market with a 31.4 percent stake.

Twitter said it formed a committee that will work with "a leading executive search firm to assist in conducting a global search which will consider both internal and external candidates" for CEO.

In its latest earnings report, in April, Twitter said it had a net loss in the quarter of $162.4 million.

Because Costolo is resigning, there is no severance package involved, according to Twitter.

Name *

E-mail *

Comment Title*

Comment *

: Characters Left

Mandatory *

Terms of use

Publishing Terms: Not to offend the author, or to persons or sanctities or attacking religions or divine self. And stay away from sectarian and racial incitement and insults.

I agree with the Terms of Use

Security Code*

Arab Today, arab today twitter ceo costolo out as growth pressure mounts Arab Today, arab today twitter ceo costolo out as growth pressure mounts

 



Arab Today, arab today
Arab Today, arab today Jordan airline suggests flyers 'talk'

GMT 11:59 2017 Friday ,24 March

Jordan airline suggests flyers 'talk'
Arab Today, arab today 5 Crafty Must-Have Limited-Budget Ideas

GMT 17:03 2017 Saturday ,25 March

5 Crafty Must-Have Limited-Budget Ideas
Arab Today, arab today Dozens dead in US-led Syria strikes

GMT 08:35 2017 Thursday ,23 March

Dozens dead in US-led Syria strikes
Arab Today, arab today Former head of Egypt’s syndicate submits appeal

GMT 20:11 2017 Saturday ,25 March

Former head of Egypt’s syndicate submits appeal
View News in Arabic - Media: انترنت
Arab Today, arab today
Arab Today, arab today
Arab Today, arab today Yemen children dream of school

GMT 07:25 2017 Friday ,24 March

Yemen children dream of school
Arab Today, arab today MP submits a petition to dismiss university head

GMT 06:21 2017 Friday ,24 March

MP submits a petition to dismiss university head
Arab Today, arab today Salvage of South Korea's Sewol ferry

GMT 04:51 2017 Friday ,24 March

Salvage of South Korea's Sewol ferry
Arab Today, arab today Prepares to give stargazers an eyeful

GMT 13:38 2017 Monday ,06 March

Prepares to give stargazers an eyeful
Arab Today, arab today Audi RS 5 Coupe acquires new design

GMT 13:22 2017 Thursday ,23 March

Audi RS 5 Coupe acquires new design
Arab Today, arab today Renault Trezor wins design award

GMT 11:56 2017 Tuesday ,21 March

Renault Trezor wins design award
Arab Today, arab today Actress Mervat Amin reveals her role in new series
Arab Today, arab today 2017 already marked

GMT 15:25 2017 Tuesday ,21 March

2017 already marked

GMT 06:04 2017 Thursday ,23 March

Haifa Wahby bets on her new drama show

GMT 22:00 2017 Thursday ,23 March

Number of unwedded girls amounts to 2.5m

GMT 18:57 2017 Tuesday ,21 March

Accessories designer reveals her new collection

GMT 10:34 2017 Tuesday ,21 March

Mexico threatens to ditch US corn imports

GMT 13:26 2017 Friday ,24 February

Expresses Algerian history by woody figures

GMT 15:06 2017 Saturday ,25 March

Dialysis Supplies Dwindle for Syrians

GMT 07:36 2017 Wednesday ,22 March

US, Britain ban laptops on flights

GMT 06:31 2015 Thursday ,04 June

Pluto's unruly moons

GMT 19:27 2017 Saturday ,11 March

Boualsof launches "Priestess Kahina" collection
Arab Today, arab today
Arab Today, arab today
 
 Arab Today Facebook,arab today facebook  Arab Today Twitter,arab today twitter Arab Today Rss,arab today rss  Arab Today Youtube,arab today youtube  Arab Today Youtube,arab today youtube
arabstoday arabstoday arabstoday arabstoday
arabstoday arabstoday arabstoday
arabstoday
بناية النخيل - رأس النبع _ خلف السفارة الفرنسية _بيروت - لبنان
arabstoday, Arabstoday, Arabstoday