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CEO Richard Costolo Leaving July 01, Jack Dorsey To Be Interim CEO

Written by on June 11, 2015

Twitter CEO Richard Costolo is leaving the position of CEO on July 01. Jack Dorsey, a Twitter Co-Founder and CEO of payments company Square Inc. will replace him as interim CEO.

Twitter’s Securities and Exchange Commission (SEC) filing announcing Mr. Costolo’s ‘Employment End Date.’

http://www.sec.gov/Archives/edgar/data/1418091/000119312515220557/d941786dex102.htm

Twitter’ SEC filing announcing Mr. Dorsey’s employment as interim CEO where it’s detailed that Mr. Dorsey has agreed to forego any compensation as the Interim CEO.

http://www.sec.gov/Archives/edgar/data/1418091/000119312515220557/d941786dex101.htm

 

Mr. Costolo welcomed back Jack Dorsey on Twitter.

Mr. Dorsey thanked Mr. Costolo; also on Twitter.

Mr. Costolo will continue to remain on the Board of Twitter.

Twitter investors and analysts have been seeking the removal of Mr. Costolo for long.

Jack Dorsey plays many roles at Twitter and beyond.

Chris Sacca, an early Twitter investor and a critic of Mr. Costolo tweeted:

And Snoop Dogg tweeted that he was ready to lead Twitter.

Twitter’s press release making the announcement of the change in leadership also reiterates Twitter’s second quarter outlook and projections. Twitter projects revenue to be in the range of $470 million to $485 million and adjusted EBITDA to be in the range of $97 million to $102 million for 2Q2015.

Twitter shares were up more than 7 percent in after-hours trading after the news was announced.

Twitter debuted as a public company in 2013. Mr. Costolo has often been challenged by Wall Street regarding his plans for Twitter to increase revenue by attracting more advertising.

Twitter under Mr. Costolo has been blamed for lack of product innovation and Twitter has been compared negatively to the innovations and growth at Facebook.

Twitter co-founders Jack Dorsey and Evan Williams have always stood by Mr. Dorsey and praised his contributions to Twitter. Mr. Costolo has been the CEO of Twitter since 2010.

Even as Mr. Dorsey’s departure is announced today, Twitter is making more changes than ever to its platform.

Twitter DMs Ditch Character Limits

Twitter has announced that its usual 140-character limit won’t apply to the Direct Messages that people send. This continues the much needed improvements in Twitter’s DM capability which lets people converse with one another privately on the social networking platform where tweets are public by default and visible to all.

Before this change to the DM character limit, Twitter had enabled DMs to multiple accounts making conversations among more than two people possible.

Twitter Enables Sharing Blocked Lists

One more change that makes Twitter more user-friendly and takes out some of the vitriol is the option to share Blocked lists.

You can download, export or share your Twitter Blocked List with others and import others’ Blocked list. This helps you block multiple people at once without having to block people individually.

A Twitter blog post explains the process in detail. Twitter has been afflicted with the problem of anonymous accounts who engage in abusive and threatening behavior even on occasion leading to police complaints and investigations when people were physically threatened or slandered.