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His actions make zero financial sense. He bought it 30-40% overvalued, has tanked its income, destroyed its brand reputation, absolutely set fire to advertiser
by photonerd 3y ago
His actions make zero financial sense. He bought it 30-40% overvalued, has tanked its income, destroyed its brand reputation, absolutely set fire to advertiser trust & safety.
Most estimates put it at ~25% of the value he paid 7 months ago.
All the debt you mention? He saddled them with that. That was t there until he came along. Another failure.
About the only positive financial thing you can say he did is cut payroll costs. Unfortunately he did that at the expense of site stability & reliability.
It will be studied in MBA programs as an example of what NOT to do
- BasedAnon 3y ago>has tanked its income Income doesn't matter if you're not profitable. >All the debt you mention? He saddled them with that. No, Twitter was already in debt. The alternative was letting it die, which mind you I don't think would have been a bad idea, but if Musk's goal is to keep it alive then the huge amounts of debt would certainly do that. >Unfortunately he did that at the expense of site stability & reliability. The site did not have the efficiency or importance to warrant the number of employees it had.
- richbell 3y ago> No, Twitter was already in debt. Twitter had around 5.5 billion in debt prior to the buyout. Elon added approximately 13 billion to that. No rational person would look at his actions and claim they "[made] a lot of financial sense".