Twitter CEO Jack Dorsey has resigned from his role and the company’s CTO Parag Agarwal has been unanimously chosen by the board as his successor. A source told Reuters that the company’s board has been preparing for Dorsey’s departure since last year. The news comes as Twitter has accelerated the pace of its product innovation over the past year to compete with social media rivals such as Facebook and TikTok and reach its goal of doubling annual revenue by 2023.
Dorsey also tweeted to explain his reasons for stepping down as CEO of Twitter after 16 years and why Agarwal was fit to lead the company Dorsey co-founded in 2006.
“I have decided to leave Twitter because I believe the company is ready to move on from its founders. I have deep trust in Parag as CEO of Twitter. His work over the past 10 years has been transformative. I Deeply grateful for his skill, heart and soul. It is time for him to lead,” Dorsey said.
Not sure if anyone has heard but,
i quit twitter pic.twitter.com/G5tUkSSxkl
— jack⚡️ (@jack) November 29, 2021
“I would like to thank the board for their trust in our leadership and Jack’s continued mentorship, support and partnership,” Agarwal said in a prepared statement. “I look forward to building on what we have achieved under Jack’s leadership and I am incredibly excited by the opportunities ahead”.
Agarwal joined Twitter in 2011 and has been serving as the Chief Technology Officer (CTO) since October 2017 according to a press statement issued by Twitter. Before being appointed CTO, the company said Agarwal became Twitter’s first ‘distinguished engineer’ due to his work in revenue and consumer engineering. Indian-origin executive earned Ph.D. in Computer Science from Stanford University and a Bachelor’s degree in Computer Science and Engineering from the Indian Institute of Technology, Bombay.
In addition to Dorsey’s departure and Agarwal taking over as Twitter CEO, the company also announced that Twitter board member Brett Taylor has been named independent chairman of the board since 2016.
Shares of the microblogging platform rose 9 percent in early trade, while shares of the digital payments firm Social class, of which dorsey is also the chief executive, was up 3 percent. Trading in the shares was suspended ahead of the expected announcement.
In his tweet on 28 November, Dorsey said: “I love Twitter”. The “likes” on that tweet grew to more than 54,000 on Monday.
CNBC was the first report good Dorsey’s move.
In early 2020, Dorsey faced calls from Elliott Management Corp. to step down after the hedge fund argued he was paying too little attention to Twitter while running payments processing company Square Inc.
Dorsey faced pressure by giving Elliott and his affiliate, buyout firm Silver Lake Partners, seats on Twitter’s board.