Industry experts say the shares of Twitter went up by 7% immediately the announcement that Dick Costolo will step down and hand over to Jack Dorsey, Co-founder of Twitter.
The report on Twitter’s time-line put to rest every rumour.
Sources say they saw it coming, because Twitter’s user base was not growing as fast as Facebook’s.
Costolo is slated to step down on July 1st, 2015, but he will remain on the board.
An official statement released by Costolo says "There is no one better than Jack Dorsey to lead Twitter during this transition. He has a profound understanding of the product and Twitter's mission in the world as well as a great relationship with Twitter's leadership team. I am deeply appreciative of the confidence the board, the management team and the employees have placed in me over the years, and I look forward to supporting Twitter however I can going forward.”