Looks like being on the wrong side of history is not paying well these days. Twitter’s Jack Dorsey is contemplating a subscription for users to access the platform, amid dropping ad revenue.
From The Hill:
Twitter CEO Jack Dorsey said on an earnings call with investors on Thursday that the company was currently in the early stages of exploring a subscription option on the platform. The comments came as the company reported that its advertising revenue, a core part of its business, suffered a year-over-year decline of 23 percent, which it attributed in part to the rapid scaling-back of ad spending caused by coronavirus lockdowns.
“First and foremost, we have a really high bar for when we would ask consumers to pay for aspects of Twitter,” Dorsey said. “And, you know, this is a start. And we’re in the very early phases of exploring.”
Dorsey went on to note that Twitter has a small team exploring other potential revenue sources, including subscription and commerce. He said that the team is currently hiring and that he expected initial tests of a subscription product to be performed later this year.
“Most importantly, we want to make sure any new lines of revenue is complementary to our advertising business,” he said. “We do think there is a world where subscription is complementary.”
The possibility of a subscription service on Twitter gained attention earlier this month after the company posted a job listing associated with the product. The job notice said the company is looking for a senior full-stack software engineer to work with a team dedicated to building a subscription platform.
In other words, welcome to the end of Twitter…