- Thomson Reuters
It would have been pretty convenient if Jack Dorsey didn’t even have to change buildings to lead both Twitter and Square at once.
However, in a last-minute maneuver, Twitter pulled out of plans to expand its headquarters into the neighboring San Francisco building as its growth has stalled, reports the San Francisco Business Times’ Cory Weinberg.
The company had reportedly nearly finalized a deal to move into neighboring, 1455 Market St., which houses both Uber and Dorsey’s other company Square.
While other tech companies are expanding like crazy – Uber is moving to Oakland while Apple just signed on for a second ‘Spaceship’ campus – Twitter’s reluctance to expand its office footprint mirrors its stalled user growth and turmoil within the company. The social network site has seen a parade of executives leaving the company, and its user growth has ground to a halt.
The move by Twitter may actually be a smart one. Venture capitalists have been criticizing startups for spending too much money on expensive rents in San Francisco when they really need to be focused on building products in an affordable fashion. With Twitter as a public company, it has its shareholders to respond to and over-priced expansion and low user numbers won’t win their confidence.