A well-connected insider claims that Elon Musk's Twitter has cut orders for new servers significantly - here's what it means.
Published Dec 9th, 2022 4:51PM ESTElon Musk shared an outlandish goal for Twitter a few days ago, saying he wants his social network to reach. That’s an incredibly bold target for a company trying to navigate particularly tumultuous waters after Musk’s acquisition. And it might be challenging to reach if you don’t have the human resources to build the infrastructure to support such an influx.
Furthermore, Kuo said that Twitter is one of the computer manufacturing company Wiwynn’s top three server clients. News of Twitter’s server cuts “isn’t conducive to Wiwynn’s server shipment momentum in 2023,” the analyst said.1. Almost all Twitter servers use Intel chips, so this cut hurts Intel's 2023 revenue & profits. Since server processor is Intel's critical profit driver, Intel is this cut's main loser.Also, Kuo said that the worst is yet to come in the server market.
. It’s not just Twitter. Firing employees and canceling orders for new infrastructure are ways to achieve that goal. However, most companies are a lot less dramatic about running their businesses.
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