In a surprising turn of events, the world’s richest man, Elon Musk, has completed his $44 billion takeover of Twitter, marking a significant milestone for both Musk and the social media platform. This acquisition has been met with mixed reactions, as it raises questions about the future direction of Twitter under Musk’s leadership.
After months of legal wrangling, Musk’s takeover of Twitter was finalised with a filing made to the US Securities and Exchange Commission.
The completion of the takeover has resulted in the departure of several key executives at Twitter. Parag Agrawal, who served as CEO, was among those fired, alongside CFO Ned Segal and top legal and policy executive Vijaya Gadde. Twitter co-founder Biz Stone acknowledged their departure, thanking them for their contributions.
While it remains unclear whether this clearout will lead to company-wide job cuts, early reports suggested that 75% of staff at the social media company were at risk of losing their jobs. However, according to shareholder Ross Gerber, these reports were inaccurate. Gerber believes that Twitter aims to retain as much talent as possible, particularly in engineering roles. Nonetheless, job losses may extend beyond upper management, potentially affecting product managers and stagnant projects.
This significant management overhaul raises speculation about the future of Twitter under Musk’s ownership.
Musk’s critique of Twitter’s management and moderation policies
Musk’s acquisition of Twitter is not without controversy. As a self-proclaimed “free speech absolutist,” Musk has been critical of Twitter’s management and moderation policies. One of the key points of contention between Musk and Twitter was the platform’s user numbers, with Musk accusing the company of providing misleading information.
Additionally, Musk has expressed his intention to reverse bans on suspended users, including former US President Donald Trump. Twitter banned Trump following the Capitol riot in January 2021, citing the risk of inciting further violence. Musk has publicly criticised this ban, referring to it as “foolish.” He has also emphasised the importance of maintaining a balance between free speech and preventing the platform from becoming a “free-for-all hellscape.”
Speculation about Twitter’s future under Musk’s ownership
The completion of Musk’s takeover has sparked discussions among Twitter users about the platform’s future trajectory. There are concerns that more lenient free speech policies could result in the re-entry of individuals previously banned for hate speech, disinformation, or extremism. This includes Trump and political extremists, QAnon loyalists, and Covid-19 deniers.
However, the European Union has signalled that it will maintain a strict stance on Twitter’s policies. Thierry Breton, the EU commissioner for the internal market, tweeted that “In Europe, the bird will fly by our EU rules,” suggesting that regulators will closely monitor any relaxation of Twitter’s policies.
Musk’s ambitions for Twitter
Musk, known for his ambitious ventures with Tesla and SpaceX, has hinted at his plans for Twitter. In a recent change to his Twitter profile, he referred to himself as the “Chief Twit,” leading some to speculate that he may take a more hands-on role in the company. While Twitter has yet to comment on its new management team, it is evident that Musk will ultimately be in charge of the platform.
Musk has also hinted at more significant changes for Twitter, including the development of an app called “X, the app for everything.” Observers believe that Musk’s vision for this app resembles the successful Chinese super app WeChat, which incorporates various services such as messaging, social media, payments, and food orders. These ambitious plans could transform Twitter into a more comprehensive and versatile platform.
The road to the takeover
The journey to the completion of Musk’s takeover of Twitter has been tumultuous. After acquiring a stake in the company at the beginning of the year, Musk made an offer of $44 billion in April. However, the price tag appeared too high, leading to doubts about the deal’s feasibility.
Musk expressed concerns about the prevalence of fake accounts on the platform, which led to a change of heart regarding the acquisition. Twitter executives took legal action to hold Musk to his offer, and although he admitted that they were “overpaying for Twitter right now,” the deal has ultimately gone through. The completion of the takeover marks a significant milestone in Musk’s quest to shape the platform’s future.
Musk’s takeover of Twitter raises numerous implications for the social media landscape. His vocal support for free speech and criticism of Twitter’s moderation policies may lead to a more permissive environment on the platform. This, in turn, could invite back individuals previously banned for various reasons, potentially causing concern among users and regulators.
As Musk takes the reins of Twitter, the platform’s fate hangs in the balance, and only time will reveal the true impact of this historic takeover.
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