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Twitter's problems were caused by Elon though. Elon structured the deal (or at least signed the deal) such that Twitter is $13 Billion in debt upon signing, an
by dragontamer 4y ago
Twitter's problems were caused by Elon though.
Elon structured the deal (or at least signed the deal) such that Twitter is $13 Billion in debt upon signing, and therefore losing an estimated 4-million a day because of it.
Elon did not have to structure the deal like this. Elon did not have to push for the unsustainable $44 Billion buyout price like this. Heck, I'm pretty sure that Elon has enough money to buy out the $13 Billion debt (which is only worth $9 or maybe $8 Billion now on the open market) and solve this problem right now.
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But instead, Elon _chooses_ to fire half the staff at Twitter. Elon _CHOOSES_ to get into public arguments with his engineers (and fires them afterwards). Etc. etc.
This calamity is a series of unforced errors. If the debt is too much of a burden, buy out the debt (or don't get into the debt to begin with). Its really not that hard of a problem.
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I've posted elsewhere on this. But the gist is, Elon took Twitter, a company losing $200 million/year, and instantly turned it into a company that was losing $1500 million/year. (And that's not counting the advertising exodus, which has been estimated at another $600 million of revenue lost due to Elon's poor decisions). Of course he's in panic mode right now, that's a lot of losses.
But Elon _caused_ all of this, with his crappy leadership.