Musk completes purchase of Twitter, starts firing executives
Facing a Friday deadline to complete his $44 billion acquisition of Twitter or face a courtroom trial, Elon Musk finalized the deal and is now running the show at the social media company. CNBC reports that Musk, the richest man in the world with a net worth of close to $220 billion, has already fired Twitter CEO Parag Agrawal, CFO Ned Segal, and head of legal policy Vijaya Gadde.
In April, Musk offered Twitter stockholders $54.20 a share for their stock, a 38% premium to the price of Twitter the day before Musk revealed his stake in the company. But almost immediately the Tesla CEO tried to back out of the deal claiming that a large percentage of Twitter’s subscribers were bots. Twitter sued Musk claiming that the multi-billionaire backed away from the deal “because the deal he signed no longer serves his personal interests.” Musk filed a counterclaim and it appeared that a trial was inevitable.
He also wrote that “There is currently great danger that social media will splinter into far right wing and far left wing echo chambers that generate more hate and divide our society.” He did point out that he did not buy Twitter “to make more money. I did it to try to help humanity, whom I love.” Twitter’s new owner says that he wants the platform to be “warm and welcoming to all, where you can choose your desired experience according to your preferences.”
Automobile companies are reportedly nervous about advertising on Twitter because of a possible conflict of interest due to Musk’s executive title at Tesla. There had been speculation that Musk would remove advertising from Twitter but that doesn’t seem to be the case after he said, “advertising, when done right, can delight, entertain and inform you. Fundamentally, Twitter aspires to be the most respected advertising platform in the world that strengthens your brand and grows your enterprise.”
What Musk doesn’t want Twitter to become is “a free-for-all hellscape, where anything can be said with no consequences!”