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Leadership

Twitter’s Dick Costolo: Wall Street ‘accelerates short-term thinking’

By
Benjamin Snyder
Benjamin Snyder
Managing Editor
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By
Benjamin Snyder
Benjamin Snyder
Managing Editor
Down Arrow Button Icon
July 1, 2015, 9:46 AM ET
Twitter CEO Costolo and Twitter co-founder Dorsey walk the floor of the New York Stock Exchange during Twitter's IPO in New York
Photograph by Lucas Jackson — Reuters

Twitter (TWTR) going public proved to be a tougher task than former CEO Dick Costolo initially expected.

The exec, who finished his post atop the popular social media service on Tuesday, said in an interview with The Guardian that the pressures of meeting Wall Street expectations were severe.

“When we took the company public, I had an expectation that the market would evaluate us based on our financial metrics first and foremost,” he told the publication. “I probably would frame the way we were thinking about the future of the company differently, understanding how we were in retrospect evaluated.”

Costolo added: “You always want to keep focused on the long-term vision, yet when you go public you’re on a 90-day cadence and there’s a very public voting machine of the stock price that accelerates that short-term thinking.”

There’s an ongoing search to find the next CEO of Twitter; co-founder Jack Dorsey will lead the company in the interim. Costolo stepped down from the top spot unexpectedly earlier this year.

Costolo spoke with Fortune’s Christopher Tkacyzk in April to about his thoughts on leadership and free speech in the workplace.

About the Author
By Benjamin SnyderManaging Editor
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Benjamin Snyder is Fortune's managing editor, leading operations for the newsroom.

Prior to rejoining Fortune, he was a managing editor at Business Insider and has worked as an editor for Bloomberg, LinkedIn and CNBC, covering leadership stories, sports business, careers and business news. He started his career as a breaking news reporter at Fortune in 2014.

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