Twitter reduces losses, loses 4 million users due to iOS 8


    At the end of last week, Twitter announced the results of the last fiscal quarter of 2014 and the first thing investors paid attention to was the company's significantly reduced costs.
    The net loss amounted to $ 125.352 million, which is almost four times less than the loss incurred in the same last quarter of 2013, when the company lost almost $ 511.5 million.

    The total revenue of Twitter Inc. almost doubled in a year, to $ 479 million, of which $ 432 falls on advertising. In the United States, with every thousand ad impressions, Twitter makes $ 5.65.

    The number of monthly active users at the end of 2014 amounted to 288 million people, which is only 4 million more than in September 2014.

    Much more interesting are the excuses of Anthony Noto (chief financial officer of Twitter) about why the dynamics of audience growth has been falling for some time, which is clearly visible on the graph above. As it turned out, due to a serious bug in iOS 8, which did not automatically log users into their accounts when switching from iOS 7, 1 million users simply “disappeared” from the statistics. They were not counted as active users due to the fact that they did not receive a single notification from iOS about their account or the actions of followers.

    Updating the Reader section in the Safari built-in browser led to the fact that another 3 million users who were considered “active” stopped seeing this information, and even without being (consciously) Twitter users, they were still taken into account in statistics, again, before the release iOS 8

    As a result, the company had to admit that it was a mistake on their side and now such a user will not be considered as "active" or as a "user" in general.

    In any case, investors were satisfied and on Friday the stock price of Twitter Inc. rose by 16% on the NYSE , amid expectations of better numbers for user growth in the current quarter. Emerging markets should help the company reach its usual growth rate in the near future, which is expected in the post-holiday period.

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