Elon Musk’s recent announcement about the suspension of payment for the purchase of Twitter is generating a lot of commotion. In addition to the logical doubts about the billionaire’s real interest, there are also questions about what will happen to Twitter if the purchase does not go through.
In recent days, analysts have been trying to understand what is happening with Elon Musk’s announcement. By paralyzing the purchase of Twitter, all alarms have been triggered about the intentions of the founder of Tesla, but also about the future of the social network.
Why doesn’t Musk want to pay for Twitter?
The official version, provided by Musk himself, is that he feels deceived about the number of bots on the network.
This alleged deception would summarize that the data on the number of bots and spam accounts are not reliable.
Theoretically, at least 5% of the social network is composed of accounts with these characteristics. That, according to the billionaire, is unacceptable. Musk’s position was confronted by senior Twitter executives, explaining the reasons for this data. However, not only were they not accepted by Musk, but he also offered an off-color response (sending a poop icon).
For many, Elon Musk’s real intentions have more to do with getting a discount on Twitter’s $44 billion price tag than with a desire not to make the purchase.
On the other hand, there is already a signed agreement with a $1 billion penalty. In other words, even if the pact were to change, the parties should agree on who bears this cost. If the breakup is unilateral, it should be taken by the one who pushes for it.
Could other companies buy Twitter?
Yes, there is no doubt that Twitter has put itself at the right starting point to sell itself. The price would probably be somewhat lower, but large corporations would be willing or in a position to consider this purchase.
The two figures most talked about as possible alternatives to buying Twitter are Microsoft and billionaire Jeff Bezos.
In favor of Microsoft’s option, it is a huge corporation used to large takeovers, such as acquiring the employment social network LinkedIn or purchasing Activision Blizzard.
For his part, Bezos has more than enough capital to carry out this type of purchase operations. Moreover, his recent departure from his position as CEO of Amazon has left his hands free for other types of investments. On the other hand, we should remember that he is considered one of Musk’s natural competitors.
Be that as it may, we will undoubtedly have much more information on this in the coming weeks. We will see whether this is a hard bargaining position or whether the purchase of Twitter is really in jeopardy at present.