Elon Musk threatens to back out of the Twitter deal over bot estimates (updated) | Engadget

18

Elon Musk continues to be dissatisfied with Twitter’s attitude on bots and other phony accounts. According to Bloomberg, Musk has modified his SEC filing to say that Twitter is reportedly refusing to share enough information regarding bot spam and bogus account data, resulting in a “material breach” of merger terms. The social network’s pledge to provide more information on its phony account testing techniques is both inadequate and an attempt to “obfuscate and mislead” the matter, according to the Tesla CEO. To put it another way, he’s afraid that Twitter is concealing the full magnitude of its bot problem.

According to the filing, Musk requires the information to both prepare for and strengthen his financing for the Twitter acquisition. He also stated that he does not need to justify his justification for the data or agree to any new terms in order to gain access to any information.

We’ve reached out to Twitter for a response. Bots and fraudulent accounts make for less than 5% of daily users, according to the business, but it hasn’t provided any more information. In mid-May, Musk placed his purchase “temporarily on hold” while he sought confirmation of that figure.

This isn’t the only stumbling block for Musk’s bid. Regulators in the European Union, for example, have warned that, despite his wish to alter Twitter’s standards, the entrepreneur will still be bound by local content rules. However, if Musk and Twitter can’t agree on bot data, the $44 billion deal might fall apart before it’s even signed.

Updated at 12:14 p.m. ET on 6/6: In a statement to Engadget, Twitter said it has been and would continue to “corporately” share information with Musk in accordance with the agreement. The complete response can be found below.

“Twitter has and will continue to exchange information with Mr. Musk in order to complete the deal in accordance with the merger agreement’s conditions. This arrangement, we feel, is in the best interests of all shareholders. We expect to complete the acquisition and put the merger agreement into effect at the agreed-upon price and parameters.”