deals - October 29, 2022

Elon Musk Buys Twitter: 5 Things You Probably Didn’t Know

ebubejulius October 29, 2022

7 min read

Elon Musk recently completed the $44 billion acquisition of Twitter. According to a CNN story, the highly publicised, turbulent $44 billion purchase was completed, and the world’s richest man assumed control of the microblogging company.

Following the acquisition, Musk dismissed Twitter CEO Parag Agrawal, along with CFO Ned Segal and Chief Legal Counsel Vijaya Gadde.

The departures happen only hours before Delaware judge’s deadline for completing the purchase on Friday.

This positive development ends the uncertainty that has been looming over Twitter’s operations, staff, and stockholders for most of the year. Let’s take a look at five things you didnt know about Elon Musk acquisition of Twitter.

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5. The legal battle

Elon Musk put the Twitter deal on hold due to evidence that less than 5% of Twitter’s 229 million daily users in the first quarter were bogus or spam-focused. It was a crucial statistic for comprehending Twitter’s advertising business.

Twitter, however, said in its complaint against Musk that the businessman was attempting to back out of the agreement since the decline in his personal fortune made the acquisition more expensive for him.

After Musk declared he would stick to the original agreement, Chancellor Kathaleen McCormick, the Delaware judge presiding over the dispute, postponed a trial that was due to begin in October.

Musk and Twitter have until Friday to reach a settlement, failing which the case will go to trial in November.

The Twitter stock however, will be halted “pending before the open” on Friday, according to a notification released by the New York Stock Exchange.

4. The sale deal lasted for 10 months

After agreeing to buy Twitter in April, Musk’s attempt to do so has been beset by problems because he has frequently altered his mind.

In June, Musk, the CEO of Tesla and SpaceX, said that he no longer wanted to acquire Twitter and take the business private, Twitter later filed a lawsuit against Musk.

“They said I couldn’t buy Twitter. Then, they wouldn’t disclose BoT Info. Now they want to force me to buy Twitter in court. Now they have to disclose BoT Info in court,” Elon Musk said.

Elon Musk’s $44 billion transaction, however, has brought the protracted slog to a close.

3. Making Twitter algorithm open source

The day before he made his $44 billion offer, Musk stated his desire to make Twitter’s algorithm and source code open source at a TED event. That implies that anyone would be able to read and modify the platform’s publicly accessible source code.

More transparency about social media algorithms has been demanded by a number of US lawmakers, particularly in light of the document leaks from former Facebook employee Frances Haugen that reveal Facebook prefers content that is more likely to generate rage.

There is more complexity there, though, as with most things in life. While further open-sourcing of Twitter’s code and algorithm may allow consumers more control over the material that is displayed to them, there are also potential security risks.

2. Plans to Unban Donald Trump from Twitter

Musk stated in a tweet on April 19 that he believes social media regulations “are good if the most extreme 10% on left and right are equally unhappy.”

Additionally, he has stated that he will lift the ban on former US President Donald Trump, who was removed from the stage following the tragic Capitol Hill incident on January 6 due to suspicions of encouraging violence.

Even if the firm lifts the ban, according to Trump, he has no intention of using Twitter again.

1. Plans to make Twitter the ultimate free speech platform

Elon Musk outlined his goals for acquiring control of the social media site, saying that he is buying Twitter to “benefit humanity.”

Mr. Musk said in a tweet that he didn’t purchase the business “to make more money. I did it to attempt to benefit humanity, whom I love.”

“Twitter cannot become a free-for-all hellscape where anything can be said with no consequences!” He also stated that this will be achieved while adhering to the laws of the land.