Elon Musk is now officially the owner of the social network Twitter. Indeed, the boss of Tesla and Space X has just completed the takeover of this successful social network. An operation that will have cost him 44 billion dollars.
Elon Musk finally owns Twitter
After many twists and turns in the Twitter takeover deal, billionaire Elon Musk has finally acquired the favorite social network of crypto investors. And yet, it was not won.
Indeed, if Elon Musk had indicated earlier in the year that he was interested in buying Twitter, he finally withdrew from the negotiations, stating that too many fake profiles existed on the platform.
Since the valuation of Twitter was largely linked to the number of users of this social network and that the business model was based on advertising, fake accounts (bots) should not be counted as the equivalent of human users according to him.
Indeed, it is human beings who buy the products and services promoted by advertisements and not bots.
The latter having a marketing utility only for the people and companies who created them (generally by doing growth hacking to increase their visibility with human users on Twitter).
This withdrawal from negotiations had resulted in a drop in the price of Twitter shares which had initially climbed following the announcement of the possible takeover of Elon Musk.
Also, many personalities accused him of manipulating stock prices and lend him malicious intentions.
Since talks had been initiated between Twitter and Elon Musk, the responsibility of the latter could therefore be brought to justice with a very hefty fine.
This is how Elon Musk decided by renegotiating the conditions for the takeover of Twitter. Following new negotiations, he therefore officially became the new boss of Twitter.
Nevertheless, the sum to redeem the social network being substantial even for a billionaire (we are talking about 44 billion US dollars), the CEO of Space X and Tesla asked for his support.
These include various private banks and cryptocurrency trading platform Binance through its CEO Changpeng Zhao who injected part of the funds needed for the takeover.
Once the buy-sell transaction has been completed, Elon Musk, the new owner of Twitter, has indicated that he will soon be cleaning up the company.
The big cleaning that is needed after the takeover of Twitter
Elon Musk is a businessman who often does what he says. As he announced during the negotiations, the CEO of Tesla has decided to dismiss some Twitter executives since he is now the big boss.
Thus, upon taking office as CEO of Twitter, Elon Musk fired Parag Agarwal who was the former CEO. He also fired Ned Segal, who was Twitter’s chief financial officer, and Vijaya Gadde, the company’s chief legal officer.
Elon Musk went even further in his housekeeping operation. He also fired Twitter’s chief legal officer, Sean Edgett.
Admittedly, the CEO of Tesla and SpaceX has decided to reform Twitter which, according to him, will henceforth be a social media where freedom of expression is exercised through more liberated speech (one can think in particular of Donald Trump’s return to the platform that had been banned by Twitter after the attack on the Capitol following the results of the US presidential elections).
However, the new boss wants to reassure the users of the platform that he does not intend to put into practice his first ambition to delete 75% of the platform’s accounts, as well as to lay off the employees of Twitter.