Science

In his complaint, Elon Musk accuses Twitter of “hiding the truth” about the number of monetized accounts.

A conflict ensued between Twitter and Elon Musk, who entered into a lawsuit over a deal to buy the social network for $44 billion. The Tesla boss, who is now trying to break up that agreement, filed a complaint against Twitter on July 29 in the Delaware Court of Chancery, a court that specializes in commercial law. A lawsuit contained in a 164-page legal document in response to Twitter’s claim that less than 5% of its active users are inaccurate. The platform filed a complaint on July 12 with the same court to force him to meet his ransom obligation or receive a one billion dollar severance package. Elon Musk approached Twitter in April and then signed a $54.20 per share purchase agreement before unilaterally breaching that commitment in early July.

Debate about monetized accounts

The billionaire claims that Twitter fraud », by voluntarily increasing the number of monetized accounts, according to his arguments filed Thursday night in court and seen by AFP on Friday. His lawyers in this 165-page document accuse Twitter of disguised the truth », claiming 238 million monetizable daily users, but the reality is 65 million fewer. Otherwise, most advertisements » will only be broadcastwith less than 16 million users, part » what twitter says. Complaint that qualifies distorted representations” of the social network sins »I confirm that Twitter has been desperately blocking the spread of information in a desperate attempt to prevent (Elon Musk) from discovering the scam. ». Thus, Musk asks the court to release him from the agreement and oblige Twitter to pay him damages.

Twitter lawsuit against Musk: bots at the center of legal battle

For its part, Twitter responds that the businessman rushed into negotiations and that fake accounts were never mentioned in the agreement. Social media lawyers condemn trying to evade a contract that Musk no longer sees as attractive after the stock market crash ». Due to a general downturn in the stock market in recent months, declining social media ad revenues linked to economic conditions, and public criticism from Elon Musk, Twitter shares fell to around $32 on July 11.

Last Thursday evening, Elon Musk was questioned at a general meeting of Tesla shareholders about the situation with Twitter. The cautious businessman was satisfied with the statement: I use Twitter a lot (…) and because I understand the product very well, I have a good idea of ​​how to send a team of engineers to Twitter to radically improve the product. ». But I don’t need twitter for this »he added.

Next step: Twitter shareholders will meet on September 13 to decide whether or not to approve this acquisition, which will represent a significant added value for shareholders. The trial was scheduled for October 17 for a period of 5 days.

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