Social Media

Musk’s Twitter Deal “Temporarily on Hold”

Less than a month after it was announced that Tesla CEO Elon Musk would buy Twitter for $43 billion, the deal has been put on hold.

in a Tweet May 13thMusk, the current richest man in the world, said:

“Twitter’s deal is temporarily pending with the pending detail supporting the account that spam/fake accounts already account for less than 5% of users.”

Musk provided few details, but followed through Another tweet A few hours later, during which he said he was “still committed to the acquisition”.

The quarterly financial report raises questions about fake accounts

Musk’s initial tweet linked to Reuters article Twitter covers Quarterly financial report.

The report included an estimate that only 5% of the platform’s approximately 300 million monthly active users are spam or fake accounts.

Twitter based this estimate on a review of sample accounts and stated that the number was “reasonable”. However, she acknowledged that the measurements were not independently verified and that the number of such accounts could be higher.

musk previously tweeted That one of his tasks when acquiring Twitter will be to eliminate spam bots.

The tweets come after the Twitter Exec Shakeup

Musk’s tweet comes just a day after it was announced that two of the Twitter executives had engaged Leave the company.

Consumer General Manager Keyvon Beykpour and Chief Revenue Officer Bruce Falck have been asked to leave by current CEO Parag Agrawal.

The company also announced that it had decided to freeze hiring in an effort to take on more financial responsibility.

Investors are showing concerns about the deal

After news of Musk’s Twitter acquisition deal, the social media platform’s share price jumped to nearly $50 a share, though it never reached the $54.20 share price agreed upon in the deal.

suggested by market analysts This is a sign that investors were skeptical that the deal could ever happen.

Part of the concern appears to be concern about Musk borrowing against Tesla shares to fund the purchase.

The initial tweet sent shares of the social media platform down 20% in pre-market trading, though it rebounded after the second tweet.

Featured image: Sergei Elagin/Shutterstock

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