What does Elon Musk do?
This is not the first time this question has occurred to me Twitter executives, global investors and many of his 92 million followers, after the world’s richest man announced on Twitter, naturally that his purchase of a social networking platform is “temporarily suspended”.
The hit was instantaneous, initially wiping out 16% of the stock price that three weeks ago it cost $ 54.20 (£ 44.50) in $ 44 billion (£ 36.1bn) takeover.
It seems that the trigger was the news of Reuters about a 10-day message on Twitter, which estimates the number of spam or fake accounts at less than 5% of the 229 million users of the platform, but admits that this figure may be inaccurate.
This is a kind of issue that may have been considered in due diligence – a process by which buyers and their banks carefully examine the company they are acquiring – was Musk did not refuse this step to push the Twitter board to a quick solution to his proposal.
Musk started the war with “spam bots,” automated accounts thriving in the swamp of anonymous Twitter abuse, a central part of his manifesto along with “fundamentalism of free speech.”
If there are fewer bots than previously thought, there may be fewer opportunities to quickly convert the user experience.
If there are more, it is less real account holders from whom you can get income.
Similarly, pressing pause could be a good reason for a rocket-on-roadster billionaire to sum up after two weeks of technical sales on Wall Street.
While Netflix and others have suffered, Twitter has carried nearly 20% below musk offerings, suggesting that markets are losing confidence in deals being made at that price.
For those wondering if he overpaid, it certainly looks now.
With his statements on social media, amplified by a broad and loyal investor who follows the boss of Tesla, the usual sower of chaos in the markets, but to destroy billions of the value of the goal would be bold even by his standards.
Withdrawal from the deal will cost him $ 1 billion (820 million pounds).
So the pause, whether it’s part of the game in question for a while, or the product of Twitch’s fingers and forty minds, remains to be seen.
In the second tweet, left after two hours of wild speculation, he wrote, “Still striving for acquisition.”
It is unlikely that this will be the last word.