Tesla Chief Executive Officer (CEO) and the world’s richest man Elon Musk on Friday canceled a deal to buy Twitter. Musk claims that the social media company has violated several provisions of the agreement for this.
He has accused Twitter of hiding the exact number of bot accounts and not giving complete information in this regard. On the other hand, Twitter has spoken of legal action against him.
Such speculations were already being made
Elon Musk offered to buy Twitter for $44 billion and the social media company accepted it in April.
However, many were not convinced about the success of this agreement. As things progressed a bit, Musk put the deal on hold, accusing Twitter of not providing data on spam and fake accounts.
Many then began to believe that this agreement would be void.
Twitter said to go to court
After Musk pulled back, Twitter board chairman Brett Taylor said the company’s board was committed to completing the transaction at the agreed price and agreement with Musk. The company is contemplating legal action to implement this agreement.
On the other hand, Musk has said that it appears that Twitter presented false and misleading data before reaching the agreement.
Musk’s claim – information was not given even after repeated requests
Musk’s lawyer said that Twitter did not provide information related to the fake and spam accounts despite repeated requests. Musk is dragging his feet because Twitter’s top executives and a third of the talent acquisition team are not following the set rules.
Let us tell you that earlier on June 6, Elon Musk said that if Twitter does not give him information related to spambots , then the deal will not happen.
Now the legal battle will go on
Reuters wrote that when matters such as disputed mergers or acquisitions go to court, most often the agreement is reconsidered or the acquiring party pays the target company some money to get out of the agreement.
Musk’s priority was to remove spam accounts
In the deal with Twitter, Musk promised that all spam and fake accounts would be removed from the platform.
A recent Twitter filing has revealed that the number of fake and spam accounts on the platform with more than 220 million users is less than five percent.
In his tweet, Musk made it clear that he wants to gather more information related to it before completing the agreement and want to test the veracity of the claim.
What are Spam Bots or Fake Accounts?
Spam bots and fake accounts are not linked to a user or his identity. With the help of these , activity on social media platforms like Twitter can be wrongly promoted.
These accounts work to mislead the real users by supporting a trend or activity in bulk.
As per company policy, such activity is called platform manipulation and it becomes difficult for users to differentiate between real or fake.