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That's a bit ridiculous. Buying Twitter for $44bn was entirely his fault (and I think, a very stupid decision) and he does seem to be running the company into t
by strken 4y ago
That's a bit ridiculous. Buying Twitter for $44bn was entirely his fault (and I think, a very stupid decision) and he does seem to be running the company into the ground, but were the fundamentals of the business solid before he got there? Did it ever justify its share price? Is ad revenue a sustainable business model? Was it going to remain profitable for long enough for someone who bought in e.g. 2020 to make a good return?
If you go to market and buy a lame horse then flog it into the ground, that's entirely your fault, but it's not like the horse was ever going to race well.
- IfOnlyYouKnew 4y agoThere are answers to all your questions and they come down to; Twitter was making a profit. Maybe it could have been more. But a profitable business is, almost by definition, sustainable. There was no need for rash action.
- philliphaydon 4y agoTwitter has only had 2 years of positive net income. 2018/2019. So I can’t agree with “Twitter was making a profit” it was bleeding.
- ilyt 4y ago"was". For two years[1], pre pandemic. It's net negative over last 10 years and over last 3-4 years. Worse, revenue[2] increased but costs increased faster By all metrics it was burning money faster than it could increase revenue [1] https://www.statista.com/statistics/274563/annual-net-income-of-twitter/ https://www.statista.com/statistics/274563/annual-net-income... [2] https://www.businessofapps.com/data/twitter-statistics/ https://www.businessofapps.com/data/twitter-statistics/
- drewbeck 4y agoI think the analogy is he bought a house that needed a new foundation and he tried to fix it with kerosene and fire. The issues may well have been fixable but he had no sense of what the issues were to begin with, just his ego-driven edgelord perspective.
- framapotari 4y agoWhat does justifying its share price mean? Does Tesla justify its share price?
- strken 4y agoIt was a rhetorical question: for me the answer is no. TWTR apparently justified its share price to someone on the market, but I think it's been overvalued since IPO. I have no idea if TSLA is overvalued or undervalued. I don't know enough about the automotive industry, renewable energy regulations, or batteries to even guess.
- bluescrn 4y agoHe bought a very powerful propaganda weapon. Destroying it or disarming it is a win for humanity, I guess.