Acquisition Not Completed Yet: Musk is already announcing job cuts on Twitter

Acquisition not yet completed
Musk is already announcing job cuts on Twitter

Elon Musk isn’t behind the wheel of Twitter yet, but there should be changes in the short messaging service after an acquisition. In a video conference with employees, the tech billionaire is already talking about new ideas and job cuts.

Tech billionaire Elon Musk also wants to get involved in product development of the service after a Twitter acquisition. In a video conference with Twitter employees, Musk said he assumed employees would listen to his suggestions for features. Although the conversation was intended for staff only, Twitter employees shared the information so freely that several major US media outlets were able to post it on liveblogs.

Musk wants to increase the number of users to at least one billion. Twitter currently has 229 million. The tech billionaire also prepared Twitter’s workforce for possible job cuts. Twitter is expected to be financially sound – and at the moment the costs are higher than the revenues, he pointed out. However, those who make a significant contribution have nothing to fear. According to Musk, even valuable employees are more likely to be able to continue working from home. The online service previously promised employees that they would not be forced to return to offices even after the pandemic ended. But Musk just made his other companies, electric car maker Tesla and aerospace company SpaceX, mandatory.

It is also unclear whether Musk will eventually become the owner of Twitter. Although he has accepted an acquisition with Twitter’s board of directors, it depends on the approval of a majority of shareholders. At the same time, he declared the deal suspended because he doubted the number of fake accounts. Twitter retorted that Musk couldn’t unilaterally suspend the deal and was determined to enforce it.

While Musk is offering shareholders $ 54.20 per share, the price is currently around $ 38. So Musk has an incentive to renegotiate the price, while many previous shareholders have an interest in selling his current offering. The appearance in front of employees was taken as a sign that Musk is still fundamentally interested in buying Twitter.

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