Major Twitter investor says enough is enough. Hire a new CEO!
Twitter’s biggest investor has unleashed another tweetnado on the company.
On Friday, Chris Sacca fired off the latest in a series of tweets criticizing the social network’s board for dragging its feet as the company nears three months without a permanent CEO.
In the barrage of tweets, the venture capitalist again threw his weight behind co-founder Jack Dorsey, who has run the San Francisco company on an interim basis since Dick Costolo resigned earlier this year amid struggling growth.
“They are running a ‘process’ yet there is only one person fit to run this company: @Jack,” Sacca tweeted, using Dorsey’s Twitter handle. “Enough is enough.”
Twitter didn’t respond to a phone call and email seeking comment.
Sacca’s comments come as pressure mounts on Twitter’s board amid weakening financial performance and stalled user growth. Last year, a vocal group of investors publicly criticized Twitter executives for not finding new ways to attract users and make money from their traffic. The company has also lost high-ranking employees in the wake of the management shuffle, which started in June.
Friday’s tweetstorm isn’t the first time Sacca, who was Twitter’s largest shareholder at the time of its initial public offering in 2013, has used the medium to make his opinion clear. Sacca endorsed Dorsey in a series of tweets on August 7.
In May, Sacca wrote an 8,500-word open letter to Twitter urging it to make the product easier to use. He posted it on his blog.
The management turmoil has taken its toll on the social network’s stock price, which has hovered near $26 — its 2013 IPO price — since mid-August. The stock hit a high of more than $70 in December 2013. It dropped below $60 in February 2014 and hasn’t been as high since.
On Friday, Twitter’s stock fell to more than 1 percent closing at $27.39.
In his barrage, Sacca blamed Twitter’s falling stock price on the board’s inaction.
Sacca said Wall Street expects the company to name Dorsey as CEO, a position he held when the company was founded in 2006. Dorsey, who is also CEO of mobile payments company Square, is the “heart and soul of Twitter,” Sacca said.
Sacca dismissed concerns that Dorsey had too many responsibilities at Square to run Twitter.
“The market knows that (Dorsey) has such strong teams at both (Square) and (Twitter) that he can run both companies,” he said. “This is settled.”