Musk aims to ease concerns by addressing Twitter employees
The meeting is a “clear step in the right direction towards the chances of a deal happening and a smart strategic move, as Twitter employees have been left in the dark for the past few months and have many questions during this time. volatile uncertainty,” said Wedbush analyst Daniel Ives.
Musk struck a deal to acquire Twitter in April, but has since clashed with the company on several occasions over the number of bots, or fake accounts, that exist on the social media platform. Musk said he was suspending the deal on May 13, although it seems unlikely he could do so on his own. Musk said he needed more data from the company on these bot accounts, despite Twitter releasing its bot estimates — and admitting they may be too low — to investors. for years.
Twitter employees may have other reasons to be nervous about Musk’s impending takeover. The irascible billionaire has leveled a barrage of criticism at the company, from its moderation and safety policies, which he calls a threat to ‘free speech’, to its anonymous user accounts, whom he would like to eliminate, to his ban on former President Donald Trump, whom he has vowed to overthrow.
Harry Kraemer, former CEO of Baxter International and a professor at Northwestern University’s Kellogg School of Management, stressed that the deal is “not a guarantee until it’s done” and that there is still lots of steps to go through before the purchase can be finalized. .
“In my experience, it’s very unusual and almost bizarre for someone who hasn’t bought the company to talk to current employees of the company they’re looking to buy,” Kraemer said.
If history is any guide, Musk might consider moving the company to Texas, as he did with Tesla’s headquarters in December 2021. An unabashed crypto enthusiast, he tossed around ideas about accepting dogecoin cryptocurrency as payment for premium accounts. Musk also asked Tesla to buy $1.5 billion in bitcoins and, for a brief period, allowed buyers to pay for their cars using cryptocurrency.
He also took aim at Twitter’s work-from-home policy, having once called for the company’s headquarters to be turned into a ‘homeless shelter’ because, he said, so few employees actually worked there. The comment also served as a thinly veiled blow to San Francisco, which has a large homeless population.
It’s unclear whether this week’s meeting means the two sides have come together to resolve their issues. Twitter shares are trading well below the $54.20 a share Musk has agreed to pay as Wall Street doubts the deal will close.