Twitter plans to 'default' on Google

Twitter is being sued by many companies for non-payment of contracts. (Photo: Reuters)

Platformer revealed that Twitter refused to pay its Google Cloud bill when its contract came up for renewal this month, leading to a serious conflict between the two companies and possibly affecting the “bluebird” team’s credibility and safety.

Although Twitter hosts some of its services on its own servers, the company has long contracted with Google and Amazon to improve its infrastructure. Before Musk bought Twitter late last year, the social network signed a multi-year contract with Google to host services related to anti-spam, removing child sexual abuse content, protecting accounts, etc.

Twitter has been trying to negotiate a contract with Google since around March, according to The Information . The company has also delayed payments to Amazon Web Services (AWS), prompting Amazon to threaten retaliation by withholding advertising payments. The Information said Twitter recently paid AWS $10 million but still owes about $70 million. AWS is unwilling to renegotiate the 5.5-year contract it signed with Twitter in 2020.

After Twitter was acquired by a new owner, the company drastically cut costs and laid off thousands of employees. Musk ordered an additional $1 billion in savings on infrastructure costs, such as cloud costs, according to Reuters .

In addition to the AWS and Google Cloud issues, Twitter has been embroiled in a number of other payment-related troubles. At least six companies have sued Twitter in the US for breach of contract and non-payment since Musk took over. They include San Francisco landlords, private jet transportation service Private Jet Services, event organizer Blueprint Studio Trends, M&A consultancy Innisfree, Twitter’s legal adviser and lawyer Analysis Group, and AI content-writing company Writer.

(According to Platformer, CNBC)

Elon Musk is no longer CEO of Twitter Linda Yaccarino started work as CEO of Twitter, replacing Elon Musk, from June 5, two weeks earlier than scheduled.

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