One of Elon Musk’s Twitter investors believes the Tesla and SpaceX founder and CEO will eventually purchase the platform, according to comments reported on Monday.
But that said, Tim Draper, an early investor in Tesla and SpaceX who co-founded a venture capital firm that’s sinking $100 million into Musk’s Twitter bid, says he’ll get it at a significantly lower price than the $44 billion bid because as many as two-thirds of users are actually bots.
“I think so,” Draper responded when asked whether the purchase would go through. “But I think he’s going to get a better deal because he found out that, whatever, two-thirds [of users] are bots or something.”
The New York Post adds:
While Twitter officially accepted a $44 billion offer from Musk in April, the Tesla CEO has since pumped the brakes on his takeover bid over alleged concerns related to fake accounts and spam. Musk had offered $54.20 a share but the stock was trading at around $37 on Monday.
On Friday, Musk said the deal was “temporarily on hold pending details supporting calculation that spam/fake accounts do indeed represent less than 5% of users” — before insisting hours later that he was “still committed” to the buyout.
Then on Monday, Twitter CEO Parag Agrawal posted a thread about steps the company is taking to measure and take down bots. Musk then responded with a smiling poop emoji.
Unfortunately, we don’t believe that this specific estimation can be performed externally, given the critical need to use both public and private information (which we can’t share). Externally, it’s not even possible to know which accounts are counted as mDAUs on any given day.
— Parag Agrawal (@paraga) May 16, 2022