Jack Dorsey Resigns as Twitter (TWTR) CEO

Veteran entrepreneur and co-founder of Twitter, Inc. (TWTR) Jack Dorsey resigned as CEO of Twitter at present. He’s succeeded by the corporate’s chief know-how officer (CTO) Parag Agarwal. Dorsey will proceed to be on Twitter’s board till the expiry of his time period in 2022.

Key Takeaways

Twitter’s CTO Parag Agarwal is changing co-founder Jack Dorsey as CEO.
The inventory jumped 11% in early buying and selling on the information.
Dorsey’s exit leaves Agarwal answerable for assembly the corporate’s formidable objectives for 2023.

After co-founding Twitter in July 2006 with Evan Williams, Dorsey turned its CEO in 2007. Throughout his first time period as CEO, Twitter’s person base elevated dramatically. In April 2007, Twitter’s holding firm, Apparent Company, spun off Twitter with Dorsey as CEO. Twitter obtained a $5 million spherical of Sequence A funding the identical yr.

After the second funding spherical, Dorsey was ousted in 2008 as Twitter’s service crashed ceaselessly, and Williams and one other board member, Fred Wilson, discovered Dorsey unfit to guide the corporate. Nonetheless, quickly after Williams’ exit in 2011, Dorsey rejoined Twitter as its govt chairman. Dorsey had co-founded Sq., Inc. (SQ) by then, and upon his return to Twitter, he started to run each firms.

In the identical yr, Williams was changed by Dick Costolo, who was Twitter’s chief working officer (COO) till then. Throughout Twitter’s IPO in 2013, the corporate was valued at $31 billion. Its first earnings convention confirmed that the corporate had suffered a web lack of $511 million within the fourth quarter of 2013.

Dorsey returned as CEO in 2015 when he changed Costolo after the lackluster post-IPO efficiency of the inventory because of the sluggish development of the corporate. However he was practically ousted once more in 2020 previous to a $2 billion funding deal between Twitter and funding companies Elliot Administration and Silver Lake because of hypothesis whether or not he may run two public firms concurrently. In line with sources, Elliot Administration’s founder Paul Singer tried to exchange Dorsey. Elliot Administration and Silver Lake received one seat every on the board, and Dorsey continued as CEO after the deal.

Dorsey’s successor Parag Agarwal will information the corporate to assist meet its formidable purpose of doubling annual income by the tip of 2023 and rising its monetizable day by day lively customers to 315 million.

Whether or not that is Dorsey’s last exit from Twitter stays unsure in view of the truth that he has succeeded in returning and serving a number of phrases at Twitter. Twitter’s inventory jumped practically 11% in early buying and selling after the information. Nonetheless, the value has come down since then.