After Elon Musk acquired Twitter, in addition to reforming the company’s employee system and requiring employees to have a “good” work attitude for the company, he also began to cut expenses in all aspects. According to industry chain analyst Ming-Chi Kuo, after Elon Musk took over Twitter, server orders fell by 80%, almost all equipped with Intel chips, making the chip company the biggest victim.
Ming-Chi Kuo pointed out that Twitter’s order cut does not help Intel’s operating income and profits in 2023. The server is an important key to driving Intel’s revenue, and they have become the biggest loser in this cut. He even predicts that the worst time for the server market is yet to come, and the server market shipment decline in 2023 will be even lower than market expectations.
While Elon Musk has been accused of wreaking havoc after taking over Twitter, in the current economic climate it might be wise to cut orders and reduce server purchases. Tech companies are now trying to save costs, and with the exception of Twitter, big companies are saving money by laying off employees and cutting costs.
After Elon Musk took over Twitter, he set a goal of reaching 1 billion users within 18 months. This will be a major challenge under the circumstances of reducing infrastructure expenses and reducing the number of employees.
source:The technological perspective
