According to an internal memo, Twitter’s value has nearly halved in the time since Elon Musk took over at $44bn (£36bn), in November.
The billionaire wrote to his Twitter employees to suggest that the company’s current value is around $20bn, based on stock awards given to employees.
The Information first reported that 55pc of the price tag was written off. This comes after tech valuations crashed last year and tech companies like Twitter, had to sack thousands of employees as growth stalled.
After agreeing to purchase Twitter in April, Mr Musk said last year that he was “obviously paying too much” for the service. He then attempted to walk away from the deal. Twitter sued Musk, but he later settled and agreed to the transaction.
Since taking over Twitter, the billionaire has fired more than half of its 7,500 employees. He did this to reduce costs and deal with declining advertiser interest.
After Mr Musk leaked portions of Twitter’s source codes, which are the backbone instructions for the website’s website, he launched legal action.
Twitter demanded code-sharing platform Github remove a section of internal data from its social network. To force Github to disclose the source of the leak, a subpoena was filed against the company.
According to reports, the tech company launched an internal probe in order to find the source of the information.
The account that leaked the data on Github was named “FreeSpeechEnthusiast”, an apparent dig at Mr Musk who has attempted to boost freedom of expression on the social network.
Twitter requested Github to “identify the alleged Infringer(s)” behind the leakage of source code under US copyright laws.
The bans placed on thousands of accounts that were previously blocked by the billionaire, including Trump’s former US President, Donald Trump, have been lifted.
Musk previously stated that he would like to make Twitter’s internal code for its social media algorithms public so external experts can inspect and improve it. Musk stated that the move would “earn you trust”.
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