Twitter has recently resumed paying its Google Cloud contract, as reported by Bloomberg. Previously, Platformer had reported on June 10th that Twitter had been withholding payment to Google for its cloud services, putting their access to Google’s infrastructure at risk. Twitter had been in the process of migrating its services off of Google’s servers, but that effort was reportedly delayed. This meant that some of the company’s in-house tools were at risk of going offline by the end of the month.
Fortunately, it seems that Twitter has managed to avoid this situation. Bloomberg reports that the company’s new CEO played a crucial role in restoring the relationship between Twitter and Google. In fact, the two companies are now in negotiations for a broader partnership that could involve advertising and Google’s utilization of Twitter’s paid API. Unfortunately, Twitter does not have a public relations department that Engadget could contact for further comment.
Twitter’s contract with Google Cloud dates back to 2018 and has been costing the company an estimated $200 to $300 million annually. This contract was one of the areas targeted for cost-cutting by Elon Musk. Google reportedly faced difficulties in reaching out to Musk to discuss Twitter’s unpaid bills and even attempted to contact him through SpaceX, another company that does business with Google.
In summary, Twitter has resumed paying its Google Cloud contract, salvaging their access to Google’s infrastructure. The company’s CEO has played a crucial role in restoring the relationship between Twitter and Google, and there are ongoing negotiations for a broader partnership. The contract has been a significant expense for Twitter and was a target for cost-cutting measures.
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