Elon surprisingly announced that he is closing the deal to take Twitter private $54/share. This news comes as a HUGE surprise to many as Elon and the Twitter’s Board of Directors are currently in court and the board was trying to hold Elon’s feet to the fire as he ‘attempted to back out of the deal’. Musk’s biggest issue with the original deal was not being able to identify how many users on the platform were real humans versus bots. I think this was a tactical maneuver to force Twitter into a specific position and create volatility in Twitter’s stock price. In reality he is not truly concerned with the number of bots on Twitter because once he takes the company private he is going to implement protocol that will make bot farms obsolete. This is confirmed in text messages that were disclosed during this trial between him and former CEO of Twitter Jack Dorsey were they discuss how exactly this protocol would work.
Jack Dorsey texts Elon Musk
— Internal Tech Emails (@TechEmails) September 29, 2022
March 26, 2022 pic.twitter.com/gMa7xzINtp
There are many theories as to why Elon took the route that he did when taking Twitter private. Many are speculating that Elon pulled the deal originally in order to tank the stock price allowing his group of investors to buy shares at a cheaper price (low $30’s) than the $54/share that Musk wants to buy it with. By allowing his group of investors to get in and make money on Twitter’s stock price volatility he was essential raising capital to acquire Ole Blue Bird while distracting everyone by making them think he didn’t want to complete the deal.
Carl Icahn amassed a Twitter stake worth well over $500 million in the past few months and made a $250 million profit today, per WSJ.
— unusual_whales (@unusual_whales) October 4, 2022
Twitter being taken private will have massive implications for society and we will discuss those moving forward in other articles. But today Twitter has a New Lord and his name is Elon Musk. In his brief time being interested in Twitter he has changed algorithms for users and has talked about a few ideas in order to eliminate bots. Hopefully with a new Captain at the helm Twitter will transform into a tool for freedom, transparency and greater world communication.
Whether this happens or not is yet to be seen. But, Elon’s 69D chess moves will be studied for centuries to come.
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