Elon Musk threatens to withdraw the obtain supply from Twitter resulting from lack of knowledge – rts.ch

A new twist in the saga of Twitter takeover by Elon Musk: the entrepreneur in an official document threatens to withdraw his offer because the social network “actively resists” his requests for information. The platform refuted.

The multi-billionaire believes that Twitter is violating its obligations by not giving him all the information he is asking about on that topic, it is stated in the letter sent to the legal manager of the social network and published on the website of the American Financial Markets Authority (DRY). “Elon Musk reserves all rights arising therefrom, including the right not to complete the transaction,” it added.

The platform reacted by saying in a message to AFP that it shares information with Elon Musk in accordance with the agreement reached and that it has every intention to complete the transaction at the agreed price.

The head of Tesla and SpaceX, who made an offer to buy the social network for $ 44 billion in April, has already questioned on several occasions the data transmitted by Twitter about unwanted and fake orders and measures taken to limit its spread. And he has already threatened on his Twitter account that he will put the contract on hold. But this is the first time he has done so in an official document.

>> Read again: Elon Musk announces suspension of Twitter takeover

Lower the price

The entrepreneur is looking for means of pressure “in order to lower the price of the offer or completely give up if he decides to do so”, suggests Angelo Zino from CFRA. Elon Musk, he recalls, waived his right to look deeper into the group’s accounts before the deal was announced.

It is becoming increasingly difficult to “imagine a scenario that will not be resolved in court,” the analyst notes. Both sides have pledged to pay severance pay of up to $ 1 billion in certain circumstances.

On the New York Stock Exchange, shares of Twitter fell 1.5% to $ 39.56 on Monday, far from the $ 54.20 price proposed by Elon Musk in April. The small size of the fall “already reflects investors’ deep skepticism about the end of the operation,” said Susannah Streeter, an analyst at Hargreaves Lansdown.

>> Listen to episode Point J on Elon Musk:

Who exactly is Elon Musk? / Point J / 13 min. / May 5, 2022

Argument methodology

Twitter estimates that the number of fake accounts and spam on the social network represents less than 5% of its daily active users. But Elon Musk argues that the methodology used by the platform is not “adequate” and that it must conduct its own analysis. He “repeatedly” asked for more information from the social network, the letter states.

Twitter did send the document on June 1, but only to offer additional details about its methodology, it added. However, the entrepreneur believes that he needs more information to prepare for the transition and finalize the financing of the operation: the share of fake online orders depends on the possibility of generating revenue from them through advertising or paid subscriptions.

Investigation in Texas

Going in the direction of Elon Musk, the Texas Attorney General announced in a press release on Monday that he had launched an investigation to determine whether fake Twitter accounts represent 5% of subscribers, according to the social network, ie up to 20 years. % or more, as claimed by the contractor. Which would mean “deceiving” consumers and businesses in Texas.

Ken Paxton’s services have asked Twitter to send documents by June 27 explaining how the platform calculates and manages data about its users. After previous criticism of Elon Musk, the head of the social network Parag Agrawal in mid-May parted a long explanation about the measures taken to combat spam and fraudulent orders.

Parag Agrawal specifically noted that Twitter’s figures were “based on multiple reproductions of human account analyzes, which were randomly selected”.

The capricious entrepreneur responded to these explanations with an emoticon in the shape of a poop. “How do advertisers know what they’re really paying for?” He also tweeted. “This is a fundamental issue for Twitter’s financial health.”

ats / vajo

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