Elon Musk says Twitter deal is ‘temporarily suspended’

Elon Musk said on Friday his planned US$44 billion purchase of Twitter was “temporarily on hold” pending details of spam and fake accounts on the social media platform, another twist amid signs of… internal unrest over the proposed acquisition.

In a tweet, billionaire Tesla linked to a Reuters story May 2, citing a Twitter financial filing that estimated that fake accounts or spam accounted for less than 5% of the company’s “monetizable daily active users” in the first quarter.

“Twitter agreement is temporarily suspended pending details supporting calculation that spam/fake accounts indeed represent less than 5% of users,” Musk wrote in his tweet, indicating he was skeptical of the number. inauthentic accounts.

It was unclear whether the issue could frustrate the deal. Shares of Twitter and Tesla swung sharply in opposite directions, with Twitter’s stock falling 18%, and Tesla, which Musk had offered to use to help fund the Twitter deal, jump 5% .

Investors had to weigh legal issues for Musk, as well as the possibility that the Twitter acquisition could be a distraction from running the world’s most valuable automaker.

Musk’s tweet comes a day after the social media company fired two of its top executives. Twitter said the company is suspending most hiring, except for critical positions, and “reducing non-salary costs to ensure we are accountable and efficient.”

In a memo sent to employees and confirmed by Twitter, CEO Parag Agrawal said the company fell short of growth and revenue milestones after the company began “aggressively” investing to expand its user base. and its income.