Home / Articles / Elon Musk threatens of walking away from $44 billion Twitter deal: Here’s why

Elon Musk threatens of walking away from $44 billion Twitter deal: Here’s why

In the latest move in the mega Twitter deal, Elon Musk has come forward saying threatening Twitter that he will walk away from the deal if the microblogging platform does not provide adequate data on spam and fake accounts on the

  • Posted on 06th Jun, 2022 18:30 PM
  • 1196 Views
Elon Musk threatens of walking away from $44 billion Twitter deal: Here’s why Image

In the latest move in the mega Twitter deal, Elon Musk has come forward saying threatening Twitter that he will walk away from the deal if the microblogging platform does not provide adequate data on spam and fake accounts on the platform. Also Read - Microsoft, Amazon come to Tesla Employees' rescue after Elon Musk wants them to return to office

Tesla CEO, Elon Musk announced the mega-deal back in April and agreed to pay $44 billion for taking over the platform. Last month, Musk had announced that the Twitter deal was on hold after the platform announced that less than 5 percent of accounts were spam or bots. Now, the billionaire has made a more definitive threat to Twitter regarding the deal. Also Read - Musk announces hiring freeze for Tesla, may layoff 10 percent employees: Report

Musk sent a letter to Twitter asking for more details about the bot accounts that exist on the platform. He claimed that he has complete rights to walk away from the deal on the basis of a “clear material breach”. It states that Twitter is obligated to provide him with all the information. Also Read - Elon Musk reveals date when working prototype of Tesla Bot will be revealed

Twitter, so far has been quiet about the allegations. However, public investors in the company seem to be losing steam. The company’s share price has tanked to $39.01 at the time of writing this article, which is quite low compared to what Musk has offered for each share, which is $54.20.

The more definitive threat after last month’s announcement of holding the deal, hints at either a change in price or else a complete turn around. Musk has been a strong believer that he will be able to root out bots and spams from the social media platform using more advanced algorithms.

According to a report by Reuters, the letter sent by Musk to Twitter stated, “Musk believes Twitter is transparently refusing to comply with its obligations under the merger agreement, which is causing further suspicion that the company is withholding the requested data.”

Earlier, Twitter had tried to convince the media that Musk had put the deal on hold due to his preparation to become the owner of the microblogging site.

Elon Musk threatens of walking away from $44 billion Twitter deal: Here’s why View Story

Latest 20 Post