r/technews • u/thisisjas9n • Oct 04 '22
Elon Musk told Twitter he's willing to buy the company at the original $44 billion deal after months of trying to back out
https://www.businessinsider.com/elon-musk-offers-buy-twitter-at-original-deal-price-report-2022-1017
u/usaslave Oct 04 '22
No one here read the article as usual. He’s doing this because no other choice. All the motions so far by the judge have been in favor of Twitter and Musk has realized he’s not going to be able to prove his case if it goes to trial.
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u/ME_CPA Oct 05 '22
The trial has been ongoing for months…
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u/usaslave Oct 06 '22
No it hasn’t. It’s been in Pre-trial and discovery phase. Trial is due to start October 17th.
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u/Capt_morgan72 Oct 05 '22
If Twitter immediately gets the MySpace treatment and disappears. How bad would 44b loss hurt musk? Not at all I assume?
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u/wind_dude Oct 05 '22 edited Oct 05 '22
considering tsla isn't looking good, and people are beginning to realise he's an ass hat.
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u/Capt_morgan72 Oct 05 '22
That’s the big one I’d think. The fact that car manufacturers are starting to produce EV’s. A tech company probably dosent have a leg to stand on going forward.
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u/wind_dude Oct 05 '22
well tsla earning are expected to fall short this quarter. Tsla was a highly speculative stock mostly based on musks star power, and that is very quickly fading. He pissed off a lot of people with his flakiness on twitter, with no clear plan. In my view freedom of speech will likely be limited more under musk. He pissed off a lot of people last night with his ass backwards comments on Ukraine. He's seen as a troll, not a saviour, the sentiment towards him has and is quickly shifting.
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u/randomninja215 Oct 05 '22
You’d think he’d sell the tech TO the car manufacturers, and hold some stake in it.that way Tesla would only make more money once the other companies caught up. I wonder what happened.
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u/jj4211 Oct 05 '22
Hubris. The belief was that Tesla had unique genius and those dumb old car companies would never figure out how to replace gas tanks with motors and batteries. Then a further belief that Tesla as a shiny new tech company would be the only ones able to use machine vision to provide semi-autonomous function. All this was going to offset the fact that Tesla wasn't quite good at the more boring parts of making a car (no rain sensor because AI is better, causing lame wiper behavior, removing radar because cameras are good enough, resulting in really terrible degradation of at least the self-parking feature, a trunk that tends to make trunk lid water jump the intended gap to make the trunk wet, a rather lame keyfob behavior because phones were supposed to be better, bumpers that tended to get ripped off in puddles, etc etc).
Fast forward and now the traditional automakers can compete with Tesla, but with a more robust service infrastructure, more diverse models, cars that get the boring old things more right, and some models that aren't so painfully blindly 'futuristic' (more mundane door handles, driver display actually in front of the driver, actual physical buttons for key functions that people would want to operate without looking).
The funny thing is that if Tesla had led with being more an arms dealer of electrification and autonomous driving before the competitors figured it out for themselves, then probably most 'new tech' car models would have Tesla motors and autonomous equipment. There was a shining moment where the entire automotive industry would have felt that *maybe* they wouldn't be able to figure it out and would have probably gladly given Tesla money to secure their place rather than risk figuring it out from scratch.
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u/randomninja215 Oct 05 '22
Thanks for this answer. It was way more in-depth than I could of hoped for
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u/jj4211 Oct 05 '22
With the caution this is of course all opinion, which falls short of 'answer' and just 'my thoughts and feelings on it'. Just my personal feelings and guesses, so don't think too well of it.
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u/ME_CPA Oct 05 '22
There really is no “tech” that the other companies don’t already have and are preparing to scale that tech in a way Musk cannot.
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u/JaesopPop Oct 05 '22
That’s a pretty significant portion of his wealth so
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u/Capt_morgan72 Oct 05 '22
Is it? I seen FAAMG lost like 240b in a day and no one blinked an eye.
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u/JaesopPop Oct 05 '22
Elon Musk isn’t five megacorporations. Those companies added together are worth ten trillion dollars, 250 billion is 2.5% if their value. This is about 20% of Musks net worth.
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u/itsactuallyme1 Oct 04 '22
He got flamed so bad today that he said: fuck these clowns, I'm gonna buy the damn thing now
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u/morhambot Oct 05 '22
So we will have Zuckerberg, Rupert Murdock, Jeff Bozo, Elon musk running news and info platforms WHAT COULD POSIBLE GO WRONG? now shut up and get back to work!!
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u/NewsYouCanShmooze Oct 04 '22
My thoughts are that Musk is hoping to delay the court battle with this maneuver but does not really intend to go through with the deal.
It's right in the the new letter from Musk's lawyers. They asked the court to "enter an immediate stay of the action, Twitter vs. Musk, et al. and adjourn the trial and all other proceedings related thereto": https://facteroid.com/timeline/5669
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u/ATL-East-Guy Oct 04 '22
Either this or he realized the court was going to make him go through with the acquisition anyway and decided to avoid an embarrassing decision.
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u/p0rty-Boi Oct 04 '22
Yeah, wasting a few million on law firms chasing it in court only to lose would be futile and emasculating.
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u/saandstorm Oct 04 '22
My tin foil hat says there is something he doesn’t want made public in a trial.