Last Updated on: 12th July 2023, 03:32 am
Elon Musk is considering ways to monetize Twitter
Days after buying Twitter for $44 billion, Elon Musk reportedly told the banks that facilitated his Twitter purchase that he could cut executive salaries and monetize tweets.
International media quoted three people familiar with the matter as saying that Musk allegedly hit banks in the week before he died on March 21.
The social media company’s board of directors accepted Musk’s $44 billion offer Monday after “conducting a thoughtful and comprehensive process to evaluate Elon’s proposal with a deliberate focus on value, security, and reliability.” Funding said Bret Taylor, chairman of Twitter’s independent board of directors.”
In the end, Musk received a $12.5 billion margin loan tied to his Tesla shares and $13 billion in loans against Twitter, the latter of which is seven times higher than the company’s projected gross profit Twitter this year.
Musk announced this week that he recently sold $8.5 billion worth of Tesla stock, which will likely help pay for the Twitter deal. That amount represents just 5.6% of the shares it owned when Twitter’s board of directors approved the purchase.
During his meeting with lenders, Musk said Twitter is lagging behind Facebook and Pinterest in terms of gross margin and could therefore make more money. To achieve this, Musk is considering monetizing tweets “that contain important information or go viral,” according to the report.
Twitter is also considering charging websites a fee for quoting or embedding tweets from verified accounts. It also plans to have moderation policies that are “as free as possible”.
Also Read: Can Twitter become more profitable with Elon Musk?
In tweets earlier this month, which have since been deleted, Musk suggested not having advertising on the platform. “Corporate power to dictate policy is greatly increased when Twitter depends on advertising money to survive,” he wrote. Also, anyone who pays for Twitter Blue, the subscription service created last summer, should get a blue authentication tick.
Musk initially took a 9 percent stake in the company and briefly agreed to join its board after raising concerns about free speech, but later attempted to win it back entirely after realizing the business was not thriving, nor was his Current form will meet expectations.
Also Read: Twitter is starting talks with Elon Musk under pressure from shareholders