Elon Musk Has Withdrawn From A $44 Billion Bid To Acquire Twitter

Elon Musk is attempting to terminate his $44 billion (£36 billion) bid for Twitter, claiming repeated violations of the agreement. The statement is the latest twist in a long-running affair that began in April when the world’s richest person decided to purchase Twitter.

Musk stated that he withdrew because Twitter did not provide adequate information on the quantity of spam and false accounts. Twitter has stated that it intends to take legal action to enforce the agreement.

“The Twitter Board is committed to closing the transaction on the price and terms agreed upon with. Musk,” Twitter chairman Bret Taylor wrote in a tweet, setting up a potentially long and protracted legal battle between the two sides.

The original merger deal calls for a $1 billion break-up fee.

Musk stated in May that the transaction was “temporarily on hold” while he awaited data on the amount of bogus and spam accounts on Twitter.

The billionaire businessman had requested evidence to back up the company’s claim that spam and bot accounts account for less than 5% of its overall users.

Musk’s lawyer stated in a letter filed with the US Securities and Exchange Commission that Twitter had neglected or refused to furnish this information.

“Sometimes Twitter has ignored Musk’s requests, sometimes it has rejected them for reasons that appear to be unjustified, and sometimes it has claimed to comply while giving Musk incomplete or unusable information,” the letter reads.

Spam accounts are designed to convey information to huge numbers of individuals and alter the way they engage with the site. Twitter announced on Thursday that it removes approximately 1 million such accounts per day.

Musk believes that spam or bot accounts may account for up to 20 per cent of Twitter users.

Twitter shares plunged 7 per cent in extended trade following the announcement.

Elon Musk has been attempting for weeks to find out how many daily active users Twitter has. Twitter has a bot problem. In reality, it was only yesterday that it claimed to eliminate a million spam accounts every day.

Musk stated in a filing that he had been consistently refused information concerning the amount of bot accounts on Twitter, which was why he wanted to end the arrangement.

Elon Musk, on the other hand, has already signed the deal, and it is unclear whether he can back out at this point. Musk will have to demonstrate that Twitter violated their agreement.

There are additional reasons Musk might want to back out of the transaction.

The stock market value of huge tech businesses has plummeted in recent months; did Musk overpay?

Then there was the issue of the proposed merger’s influence on Musk’s other businesses.

Tesla’s stock price has plummeted since he disclosed his interest in Twitter.

His stance on free speech and how Twitter would filter in the future based on particular country regulations came across as naive at times. Did Elon Musk eventually realise he had taken on more than he could handle?

Musk, the world’s richest person, is the founder of SpaceX and the CEO of Tesla, an electric automobile manufacturer.

As a self-described “free speech absolutist,” he promised to relax Twitter’s content control policies once he took over the firm.

He has long criticised Twitter’s suspension of certain accounts, including that of former US President Donald Trump.

He has also adv

Elon Musk is attempting to terminate his $44 billion (£36 billion) bid for Twitter, claiming repeated violations of the agreement. The statement is the latest twist in a long-running affair that began in April when the world’s richest person decided to purchase Twitter.

Musk stated that he withdrew because Twitter did not provide adequate information on the quantity of spam and false accounts. Twitter has stated that it intends to take legal action to enforce the agreement.

“The Twitter Board is committed to closing the transaction on the price and terms agreed upon with. Musk,” Twitter chairman Bret Taylor wrote in a tweet, setting up a potentially long and protracted legal battle between the two sides.

The original merger deal calls for a $1 billion break-up fee.

Musk stated in May that the transaction was “temporarily on hold” while he awaited data on the amount of bogus and spam accounts on Twitter.

The billionaire businessman had requested evidence to back up the company’s claim that spam and bot accounts account for less than 5% of its overall users.

Musk’s lawyer stated in a letter filed with the US Securities and Exchange Commission that Twitter had neglected or refused to furnish this information.

“Sometimes Twitter has ignored Musk’s requests, sometimes it has rejected them for reasons that appear to be unjustified, and sometimes it has claimed to comply while giving Musk incomplete or unusable information,” the letter reads.

Spam accounts are designed to convey information to huge numbers of individuals and alter the way they engage with the site. Twitter announced on Thursday that it removes approximately 1 million such accounts per day.

Musk believes that spam or bot accounts may account for up to 20 per cent of Twitter users.

Twitter shares plunged 7 per cent in extended trade following the announcement.

Elon Musk has been attempting for weeks to find out how many daily active users Twitter has. Twitter has a bot problem. In reality, it was only yesterday that it claimed to eliminate a million spam accounts every day.

Musk stated in a filing that he had been consistently refused information concerning the amount of bot accounts on Twitter, which was why he wanted to end the arrangement.

Elon Musk, on the other hand, has already signed the deal, and it is unclear whether he can back out at this point. Musk will have to demonstrate that Twitter violated their agreement.

There are additional reasons Musk might want to back out of the transaction.

The stock market value of huge tech businesses has plummeted in recent months; did Musk overpay?

Then there was the issue of the proposed merger’s influence on Musk’s other businesses.

Tesla’s stock price has plummeted since he disclosed his interest in Twitter.

His stance on free speech and how Twitter would filter in the future based on particular country regulations came across as naive at times. Did Elon Musk eventually realise he had taken on more than he could handle?

Musk, the world’s richest person, is the founder of SpaceX and the CEO of Tesla, an electric automobile manufacturer.

As a self-described “free speech absolutist,” he promised to relax Twitter’s content control policies once he took over the firm.

He has long criticised Twitter’s suspension of certain accounts, including that of former US President Donald Trump.

He has also advocated for greater openness in how the site delivers tweets to users, a method that now permits some to be boosted and distributed to larger audiences. (Adapted from TheGuardian.com)

ocated for greater openness in how the site delivers tweets to users, a method that now permits some to be boosted and distributed to larger audiences.

(Adapted from TheGuardian.com)

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