Twitter's Transformation Continues: $130M Googler Poached To Be Executive Chairman


Twitter announced that Omid Kordestani, former chief business officer at Google, is now the chairman of the microblogging company.

The experience of Kordestani in occupying high ranking positions at top level companies might strengthen Twitter, which faced management turmoil in its nine years of existence. It is expected of Kordestani to not only play an active role in day to day procedures, but also to bring his expertise in recruiting and give pointers to the leadership team.

Dorsey is determined to give his executive board a much needed refresh. On Tuesday, Twitter made public that it plans to lay off up to 8 percent of its employees, in an effort to cut expenses.

 Kordestani joined Google in 1999, where he was the 11th person to join its team. Having the original title of "business founder", he managed the first profits of the company and developed the selling strategies, including the ones involving the ads present in Google searches.

More than 50 percent of Google's annual income is based on that business model.

"Google's full year revenue for 2014 was $66 billion," Patrick Pichette, CFO of Google said.

Kordestani was the best paid executive at Google in 2014, with a $130 million pay package containing a significant number of stocks.

In Aug. 2015 Google became conglomerate Alphabet, causing Kordestani to downgrade his position with the firm to adviser level.

Talent transfer from Twitter to Google and back again is commonplace in the last years. The two technology companies tighten their relationship and that is apparent in the way Google search results displays Twitter messages. Another mutual advantageous action involves advertisers who are now allowed to use Google's DoubleClick for buying ads on Twitter.

Co-founder of the company, Jack Dorsey, became chief executive of Twitter last week and communicated that he aims to hire an outside chairman. Experts in social media technology repeatedly chastised Twitter's board for being insular and dominated by company insiders.

"We're excited for Omid and very happy for Twitter," an email from a Google spokeswoman reads.

One of the critics addressed to Kordestani is that he is less than an avid user of Twitter. He had tweeted only eight times in his personal account prior to the appointment as chairman of Dorsey's company.

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