Early Google had small, elite teams, whom it treated very well. That works really well. Late Google kept elite team salaries with bloated, mediocre devs. That works less well.
So it wasn't really Twitter setting the trend. The company was simply reacting to the same market conditions as everyone else.
SREs predicated Twitter would crumble when Twitter's SRE team was laid off. It had some hiccups, but seems stable now.
I suppose the next line of defence is that it takes a while for architecture to crumble.
Time will tell whether that's accurate, or a No True Scotsman.
My position is that early SRE solved the hard parts, before I was involved. Services and platforms became reliable. The field is mature. SREs still point to risks, but execs have called their bluff.
The takeaway is to make sure you are actually creating value. Maybe Twitter's SREs were not actually improving reliability much.
I think SREs knew better than to claim such. I saw tons of non-SREs claim that Twitter would surely immediately collapse. Then the 2022 FIFA World Cup occurred immediately after the mass layoffs ... and Twitter kept on working.
But by his own admission the site has lost a huge majority of its value, and the main revenue source has dried up.
...yet. An airplane can still glide a great distance if you turn off the engine that actually powers it. I feel like Twitter/X is still at the "Wile-E-Coyote ran off the edge of the cliff and is still running in midair" part. The technical bits are probably running on pure momentum.
A big part of why he lost so much advertising revenue is advertisers knowing that there isn't the staff necessary to ensure that their accounts are being handled properly, and the content they appear next to is moderated.