After another episode of criticism aimed at Twitter last month, Elon Musk decided to purchase a 9.2% share in the platform’s stock, becoming its largest shareholder practically overnight.
Musk’s tweets often disclosed information on Tesla and SpaceX in the past, which led to him being fined and dropping his chairman role at Tesla. He agreed with the remaining Tesla executives to obtain their approval before tweeting any material information on the company. He is presently involved in a lawsuit with the SEC over claims that he is not adhering to this agreement.
It is unclear what Musk has in store for Twitter. Still, he openly expressed disagreement with the appointment of the new Twitter CEO, Parag Agrawal, comparing him to the notorious Soviet dictator Joseph Stalin.
Although Musk is not an active shareholder—he would be with a 10% stake—he may be planning to go active and reorganize the social media platform, especially after his recent statement about Twitter hindering free speech.
This is not the first time revolted investors have tried to make changes on Twitter. The platform’s founder, Jack Dorsey, took a blow from hedge fund Elliot Management which ultimately resulted in his resignation as Twitter CEO. In addition, Twitter faced backlash for not handling misinformation on Covid-19, 2021 US elections, and its censorship of ex-President Donald Trump.
There are speculations of Musk eventually buying Twitter, but despite currently being the wealthiest person in the world, he would have to find a partner for such a venture.
