Elon Musk vs. Twitter: a business trapped by bots… and that shouldn’t happen

Deepak Gupta June 7, 2022
Updated 2022/06/07 at 3:16 PM

The story of Twitter mogul Elon Musk’s purchase has been taking some twists and turns since the official announcement was made. On April 25, there was talk of a multi-million dollar business and today the number of fake accounts that populate the social network is debated.

The completion of the deal is increasingly an unknown, but the most recent developments seem to show that it will not really happen…

The purchase of Twitter seemed almost certain. After the official announcement of a 44 billion dollar deal, Elon Musk tweeted many ideas to implement on the social network, as well as many others shared internally with potential investors.

However, on May 13, developments that appear to be strategic are made public. Elon Musk goes public to say that the purchase of the social network is temporarily suspended until he has information on how many active accounts are fake. According to Twitter investors, this setback was nothing more than a strategy to lower the purchase price. Such an attitude caused many to lose money, since the value of the shares dropped considerably with the announcement.

Elon Musk leaves a warning to Twitter

Now in a document disclosed This Monday by the regulatory authority of the North American financial markets, written by Elon Musk's team of lawyers, it can be read that Twitter "actively resists" requests for information from fake accounts and bots. Therefore, you can withdraw your purchase offer.

The letter says that Musk has repeatedly asked for the information since May 9, about a month after his takeover bid for the company, so he could assess how many of the company's 229 million accounts are fake.

Twitter CEO Parag Agrawal said that Twitter has consistently estimated that less than 5% of its accounts are spam. But this information was disputed by Musk, claiming, without evidence, that 20% or more are false.

In the document it is mentioned that the entrepreneur needs this information to prepare the transaction to finalize the financing of the operation. However, in the face of such refusal, Elon “reserves all rights resulting therefrom, including the right not to consummate the transaction”.

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