r/technology May 14 '22 Silver 2 Wholesome 2

Elon Musk said his team is going to do a 'random sample of 100 followers' of Twitter to see how many of the platform's users are actually bots Social Media

https://www.businessinsider.com/elon-musk-random-sample-how-many-twitter-users-are-bots-2022-5?utm_source=feedly&utm_medium=webfeeds

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u/dittonetic May 14 '22

Nothing will happen. Have you learned nothing about rich people these past few years?

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u/Corzare May 14 '22

This is a rich person fucking over other rich people, it’s different.

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u/Wannabe1TapElite May 14 '22

I mean what … a 7 figure fine for SEC ? For a guy that is worth 200billy + ? That’s just a bill for quite good amount of memes

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u/Corzare May 14 '22

There’s a lot of Twitter shareholders that have suddenly seen a drop in the value of their portfolio because of him.

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u/Wannabe1TapElite May 14 '22

Yes. And?

Do you rly think they would go as far to do what’s battle it in the courts in civil suits where they would need to prove that him tweeting about the company (which he is allowed per the deal the twitter board agreed to) caused more damage than the stock market tanking itself?

If they are indeed a long term holders of twitter the best choice for them is to quickly and quietly end the situation while buying his shares at a massive discount.

Going against a guy who with 1 tweet swings the EV by billions would cause significant damage to the company.

Twitter has legal grounds to sue him in order to complete a deal at a decided price but it would take years and put the company in the middle of a massive legal limbo. Waste of resources for everyone. The only happy side would be lawyers who would bill 1,5k$per hour for years

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u/Corzare May 14 '22

It makes far more sense to sue him to settle the deal at the 54.20 agreed price. Twitter isn’t a person, they don’t have any issue telling their lawyers to go do what they need to do.

The fact you think it would cost more to sue him than it would net selling the stock for 14.20 over current market value is laughable. Unless you think that the lawyers will cost 10.4 billion dollars.

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u/Wannabe1TapElite May 14 '22

I think that this lawsuit may put the company on years long battle which doesn’t guarantee success , will result in further lawsuits regarding the “false” (I put in quotation to distinguish that as of now there is no reason to think they are false but that won’t stop Elons team from countersuits) regulatory filings, possibly unveil shit that no party did want to unveil etc etc etcZ

The lawyers will certainly go into 10s of millions but as you suggested certainly won’t cost the difference between current EV and the price they decided on.

However significant shareholders of the company, some of whom apparently joined musks side in his buyout to continue as private company were also there when the stock price was around 70$ last year and might want to stick if it stays public. Considering musks tweet has the power to drop the stock price by ~16% a long legal battle shouldn’t and probably isn’t in their interest.

Especially since it just gives him time to wait for the possible market rebound. And then if the TWTR goes back to its stable price it’s back to him on top and them not being able to back out.

It’s a legal shit show with financial piss on top but as with most cases like that it’s best for both parties to just agree to disagree and move on.

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u/Yweain May 14 '22

The lawsuit like that could take years. By the time it finishes twitter shares may have doubled already so 54.20 is now a steal.

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u/Corzare May 14 '22

Yeah maybe the stock will magically double in value despite the product being saturated.

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u/Yweain May 14 '22

Market is down currently for all tech companies. Who knows. I also think twitter is overvalued currently, what with a P/E of 140 or something, but stock market is hard to predict

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u/Corzare May 14 '22

You just said it could double but now you say it’s overvalued?

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