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This article is a good analysis of Musk's challenges and choices. A couple things are too-lightly covered: 1. Twitter makes money on brand advertising. While t
by Zigurd 4y ago
This article is a good analysis of Musk's challenges and choices. A couple things are too-lightly covered:
1. Twitter makes money on brand advertising. While that is a tough row to hoe, and might have been a strategic error for Twitter, it can't be changed in a relevant time-frame. This context makes Elon's tweets even more destructive for Twitter's particular type of ad buyer.
2. The figures cited in the article point to some kind of favoritism toward Elon by the banks that lent him tens of billions on margin, and possibly by the Tesla board which has a 25% margin policy for insiders, no matter what banks would offer. The banks, Tesla and Tesla's board, or both are likely to have undisclosed risk related to lending to Elon.