Musk’s Server Cuts at Twitter Could Inspire Other CEOs

Elon Musk has won plaudits in some quarters of Silicon Valley for slashing Twitter’s headcount and ending its remote-work policy. Now Musk’s latest target for cost cutting is drawing fresh attention from cost-conscious CEOs at companies across the globe.

Since taking over Twitter just over two months ago, Musk has slashed Twitter’s spending on servers that power the app, laid off engineers and ordered cuts to spending on public cloud services. Most recently, he ordered the disconnection of Twitter’s Sacramento, Calif., data center, one of three it operated that housed vital racks of servers, on Christmas Eve. Twitter is now becoming a real-time experiment in just how much server capacity a company can get away with cutting.