In a surprising move, Twitter has announced that it will be closing its offices in India and Singapore, in a move to streamline their operations and reduce costs. The move by Twitter follows a tough fiscal year for the company, in which it suffered losses of more than $2 billion.
The offices in India and Singapore were seen as important strategic locations for the company, as India was one of the most important markets for Twitter, with it counting more than 100 million active users there. The company had been eyeing India as a potential growth area, given its large population and young demographic.
However, the move to shutter the offices in India seems to be a direct result of the company’s inability to generate profits. Despite India’s large potential market, the company’s user base has stayed largely stagnant over the last few quarters, which has resulted in the inability to generate significant revenue from the region.
The move to close the offices in India and Singapore coincides with billionaire CEO Elon Musk’s struggle to pay the bills. Musk has been trying to lower the company’s overhead costs and accelerate its path to profitability.
The closures in India and Singapore are likely a direct result of this effort. Just this week, Musk announced that the company is selling its majority stake in the Indian chat app Hike, which it had bought in 2016. This comes after Twitter shut down its California office and laid off more than 350 employees worldwide earlier this year.
Twitter’s move to shut down its offices in India and Singapore is just one of many moves the company has made in an effort to save money and bring in more profits. Despite these efforts, it will be difficult for the company to generate the kind of significant profits it needs to stay afloat. It remains to be seen how these moves will affect the company’s overall success, but one thing is certain – Twitter’s struggles to pay the bills aren’t going away anytime soon.
