Jack Dorsey replaced Dick Costolo chief executive of Twitter. This is as a result of the social media network failing to increase its user count and develop new advertising methods. The added pressure is due to Twitter’s high-profile public offering on the stock exchange two years ago.
- Dick Costolo will step down in July.
- Jack Dorsey, Co-founder, took over as interim ceo.
- Costolo has faced controversies including piracy and online abuse.
- Dorsey will continue to run credit card payment concern Square during a major transition that sent immediate shockwaves across Silicon Valley.
Tom Cheshire, has been reported saying “pressure had been building on Mr Costolo for quite a few months – but the timing of the move was still a surprise.”
“Shareholders have been really concerned about the lack of growth. User growth has slowed, especially when you compare it to a behemoth like Facebook,” he added.
Shares in Twitter rose by more than 7% in after-hours trading on the New York Stock Exchange following the announcement.