Twitter, that has been struggling with revenues and to woo investors, has put out a quarter of its space in San Francisco headquarters for sublease, according to a document posted online (first reported by San Francisco Business Times).
Twitter has listed 78,800 square feet for sublease on the seventh floor of 1355 Market St., which is a renovated 1930s furniture mart. It also has 104,850 square feet along with three floors in an adjacent building at One Tenth St. Overall, it has 683,000 square feet leased at both buildings.
A Twitter spokesperson reportedly said, “We’re always looking at ways to use our office spaces more efficiently and effectively. “We remain committed to our home in San Francisco’s Mid-Market area.” Twitter had moved to the Mid-Market headquarters in 2012.
Bloomberg report points out that subleasing is slowly becoming quite common in San Francisco as VC investments are declining and tech firms have started slowing hiring. Late last year, we heard how Dropbox was looking to sublease half its headquarters. However, in case of Twitter, that has repeatedly failed to prove its mite when it comes to making revenue, is this the sign of a disaster? After all, we saw Nokia follow a similar path as it started subleasing its office space.
Twitter reported its slowest revenue growth since going public in 2013 and set a disappointing forecast, fanning concerns that faster growing social media services will make it a niche product. The microblogging service operator’s shares fell 11 percent in extended trading to $16.40. Co-founder Jack Dorsey returned to the company as chief executive about a year ago, but his plan for reviving Twitter is at best seen as unfinished.
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