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What did the CEO of Twitter say after Elon Musk announced the suspension of the agreement?

Parag Agrawal, CEO of Twitter, said that he hopes the deal with Elon Musk can be closed. At the same time, he also confirmed that he will lead the company in case the deal falls through.

“I hope the deal gets done, but we have to be prepared for any eventuality and always do the right thing for Twitter. I am responsible for running and managing Twitter, our job is to build a bigger Twitter every day,” Agrawal wrote.

Previously, on May 13, billionaire Elon Musk said that he would pause the acquisition of Twitter until he received accurate statistics on the number of fake accounts on this platform.

“The agreement for Twitter will be temporarily suspended until there are detailed reports on the number of fake accounts, if there are less than 5% of users,” Musk announced on his official Twitter.

However, according to CNBC, canceling the Twitter acquisition will not be an easy task for the Tesla CEO. Musk will have to pay up to $1 billion in damages and could face a breach of contract lawsuit.

Elon Musk plans to multiply by 10 investments in Twitter
According to the New York Times, Elon Musk confidently told investors that the money they spent to buy Twitter could double or even triple. This is considered a “supply” move on the part of this billionaire.

Musk has set his sights even higher, saying profits are 5 to 10 times higher if all goes well. Musk also admits that this number is elusive, but he is willing to work to bring Twitter over the finish line.

Elon Musk’s plan

According to the New York Times, the world’s richest billionaire has laid out a plan to “promote” Twitter to investors. In it, Elon Musk promised to increase Twitter’s annual revenue to $26.4 billion by 2028, more than five times the 2021 figure of $5 billion.

In particular, Elon Musk wants to reduce advertising revenue to 45%, much less than 90% in 2020. By 2028, advertising activities will only generate around 12 billion dollars. Musk wants to earn an additional $10 billion from users who sign up for the service. In addition, the social network is expected to charge companies for unlocking data.

According to the presentation, Twitter will generate $15 million in payments by 2023. After 5 years, this could grow to around $1.3 billion. Currently, Elon Musk thinks that the company’s business is not efficient. According to the New York Times, some speculated that Musk might introduce a payment option on Twitter because he helped popularize PayPal’s payment service.

Likewise, by 2025, Elon Musk said that Twitter will have more than 11,000 employees. Currently, the company’s workforce amounts to 7,500 people. However, the billionaire admits that the number of employees can fluctuate suddenly, depending on the plan of each phase.

Ultimately, Twitter will add about $13 billion in debt as part of its acquisition of Elon Musk. However, Tesla’s CEO is expected to pay off that debt when free cash flow, a measure of how much cash a company must pay to pay off, is expected to rise to $3.2 billion. in 2025 and $9.4 billion in 2028, according to meeting documents.

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Elon Musk announced that he will not complete the purchase of Twitter until the number of cloned accounts is clearly investigated

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