Elon Musk has a very good relationship with Twitter. He had made an offer to buy Twitter, which has been accepted by Twitter’s board members. Although initially, the board members were against it but eventually they agreed with Musk’s offer. Now Elon Musk has bought Twitter for $44 billion. Twitter was a public company and will now become a private company. Why did Elon Musk Buy Twitter for $44 Billion? Let’s read below.
Information about Twitter
Although Twitter is not the platform with the most number of users, also, it does not make the most money compared to other social platforms, it still has a lot more potential. All kinds of people are active here. Now almost every popular person, whether it is a politician, film actor, sportsperson, or businessman is active on Twitter. Twitter is a platform where an ordinary person can get direct interaction with a popular person. Every company has a Twitter handle. Apart from this, there is also an official Twitter handle of every government.
- Twitter is an American microblogging and social networking platform created in 2006 by Jack Dorsey, Noah Glass, Biz Stone, and Evan Williams.
- As of 2012, over 100 million users posted 340 million tweets a day.
- In 2013, it became one of the ten most visited websites. Hence Twitter came to be regarded as the “SMS of the Internet”.
- As of 2019, Twitter had over 330 million monthly active users.
- On April 25, 2022, Twitter’s board of directors accepted Elon Musk’s offer to buy the platform.
- Eventually, Elon Musk bought Twitter for $44 billion. With this, it became one of the biggest deals to take the company private.
Elon Musk’s relationship with Twitter
As you know Elon Musk is the richest man in the world. He is very active on Twitter. He has more than 88 million followers. He also comes in the list of Top 10 Most Followed Person. A tweet by Musk about Dogecoin pushed up the price by 50%. For a time, the price of bitcoin depended on the opinion of the world’s richest man. Let’s know about his famous tweet, which created quite a stir on Twitter.
- On February 4th he tweeted his love for Dogecoin, with the price up almost 10% within an hour and over 50% within a day.
- Within a month, the price of bitcoin reached nearly $65,000 because of his tweet, “You can now buy a Tesla with bitcoin”.
- On December 14, Musk announced that Tesla would conduct a trial run accepting DOGE for the goods and subsequently increased the price by 43% over the next two hours.
Elon Musk Bought Twitter for $44 billion
On April 4, 2022, Elon Musk bought 9.2% of Twitter’s shares for $2.64 billion. As a result, the Twitter stock rose up to 27%. Musk was invited for a seat on Twitter’s board of directors but decided not to join the board.
Musk made an offer on April 14 to acquire Twitter for $43 billion and take the company private. His belief was that he believed in the importance of free speech for democracy around the world and that Twitter should move forward in accordance with the laws of each country.
On April 25, it was reported that Twitter was prepared to accept Musk’s offer, with the board publicly accepting the offer later that day. Twitter’s board on April 15 introduced a “poison pill” strategy against Musk that would allow shareholders to buy additional stock. This was done only to stop Musk from taking over the company.
On April 25, Twitter and its board also accepted Musk’s proposal. Now Elon Musk is the owner of Twitter.
Why did Elon Musk buy Twitter for $44 billion?
Elon Musk says that he believes in Freedom of Speech and everyone has the right to share their own opinion. Musk has said that his first plan is to open-source the algorithms that rank tweets in the content feed to increase transparency. He has stated his intention to remove spambots and authenticate all real humans.
- Twitter aims to be an open-source algorithm so that everyone can use it freely.
- Twitter has to be made a free speech platform so that everyone can freely express their views.
- The aim is to remove spam bots from Twitter so that all real humans can be authenticated.
Twitter has banned many accounts for policy violations, in which many popular people were involved. After this purchase of Twitter by Musk, fans have some hope that those accounts can be recovered. Some of the accounts are Donald Trump, Alex Jones, David Icke, Marjorie Taylor Greene, Kangana Ranaut, Katie Hopkins, Deepak Bansal, Abnit Kaur Bal, etc. You can view the list of some suspended accounts list here.