A picture of Elon Musk, and the Twitter logo.
Elon Musk Terminates Twitter Deal
On Friday, it was revealed that Tesla CEO Elon Musk has terminated his deal to acquire the social media company Twitter.
In a letter to Twitter’s top lawyer, Musk claimed that Twitter is “in material breach of multiple provisions”. This news comes following Musk’s public criticism of the company, as the Tesla CEO has sparked concerns of a botting problem for the social media giant.
Back in May, Elon Musk foreshadowed his termination desires by sharing that the deal was “temporarily on hold” while both parties could verify the extent of Twitter’s botting problem.
Twitter deal temporarily on hold pending details supporting calculation that spam/fake accounts do indeed represent less than 5% of usershttps://t.co/Y2t0QMuuyn
— Elon Musk (@elonmusk) May 13, 2022
Twitter Board Reacts:
On Twitter, Bret Taylor, a chairman for the social-media giant, shared a statement following the news of Musk’s desire to terminate the deal. “The Twitter Board is committed to closing the transaction on the price and terms agreed upon with Mr. Musk and plans to pursue legal action to enforce the merger agreement. We are confident we will prevail in the Delaware Court of Chancery”, Bret Taylor shared on Friday afternoon.
The Twitter Board is committed to closing the transaction on the price and terms agreed upon with Mr. Musk and plans to pursue legal action to enforce the merger agreement. We are confident we will prevail in the Delaware Court of Chancery.
— Bret Taylor (@btaylor) July 8, 2022
As of now, it is not clear where the Twitter deal falls, as Twitter’s board seems committed to finalizing the deal. This story is still developing.
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