Twitter’s chief executive to step down


Jun 12, 2015 (LBO) – Social messaging service, Twitters Chief Executive, Dick Costolo is stepping down, foreign media reports said.

Twitters co-founder Jack Dorsey will take over as interim chief on 1 July and stay until a replacement can be found.

Twitter said that its board had formed a committee to undertake the task of finding a successor and would be looking both inside and outside the company for a new chief.

In a statement, Costolo said he was “tremendously proud of the Twitter team and all that the team has accomplished together during my six years with the company.”

He added that he had decided to go now because he felt the continued scrutiny if he remained would be a “distraction” and of “no help to the company”.

Costolo had been under pressure from investors unhappy with the firm’s user growth.

Following the announcement the share price of the company rose 7 percent in trading after US markets had closed, media reports said.

Costolo had been Twitter’s CEO for five years and led the company through a successful stock market debut in 2013 and was hired as chief operating officer for Twitter in 2009, three years after its launch.

He has a degree in computer science and led three earlier tech start-ups, including one that he sold to Google.

But even though Twitter had 1.4 billion US dollars in revenue last year, primarily from digital ads, it has not made a profit as a public company.