What’s missing in almost all of the discussion is that billionaires rarely buy media companies to maximise their profits. It’s down to maximise their power.
As long as Twitter remains the social media portal for politicians, business leaders, media, journalists, and scientists, he controls the algorithm.
He also gets to advertise at will to the most powerful people on the planet.
His largest business risk is political. He needs the government support for spaceX and he might need them to mitigate Tesla class action liabilities.
For 1/10th the market cap of Tesla he owns the ‘Town square’.
Presumably he could pay off the debt if he wanted to, unless Tesla shares crater.
Now that he owns Twitter, his biggest risk is pushback from employees. He needs and rewards loyalty, and so forcing people to opt-out and pledge allegiance early is also critical.
The short, medium, or even long term economics of the Twitter business are not relevant and he’s using it as a smokescreen to hide the power play he’s making.
Like Trump, he understands power and doesn’t concern himself with truth.
As long as Twitter remains the social media portal for politicians, business leaders, media, journalists, and scientists, he controls the algorithm.
He also gets to advertise at will to the most powerful people on the planet.
His largest business risk is political. He needs the government support for spaceX and he might need them to mitigate Tesla class action liabilities.
For 1/10th the market cap of Tesla he owns the ‘Town square’.
Presumably he could pay off the debt if he wanted to, unless Tesla shares crater.
Now that he owns Twitter, his biggest risk is pushback from employees. He needs and rewards loyalty, and so forcing people to opt-out and pledge allegiance early is also critical.
The short, medium, or even long term economics of the Twitter business are not relevant and he’s using it as a smokescreen to hide the power play he’s making.
Like Trump, he understands power and doesn’t concern himself with truth.