The financial situation behind Musk’s Twitter actions

Roland Abi Najem, information security and digital transformation consultant, attributed the recent measures taken by the American businessman Elon Musk, CEO of the social networking platform “Twitter”, to 3 main reasons, all of which aim to improve the company’s financial position, in addition to his endeavor to adjust the market value of the company he acquired last year. The past amounted to 44 billion dollars, which later declined to about 21 billion dollars only.

Abi Najem said in an intervention with the Business Session program on Qatar TV that Elon Musk is a businessman and his main business is business and using money to reap more profits, but when he bought Twitter, its estimated value was about $44 billion, but it fell to $21 billion with daily losses estimated at $4. Millions of dollars.

He added that the main reason for the recent actions is due to Musk’s reneging on a deal with Google Cloud worth $100 billion, which in turn facilitates seeing the number of tweets for users, in addition to what it offers by enabling them to browse everything they want on the platform, in addition to other advantages, including data storage and anti-tweet services. Spam and account protection, in addition to facilitating access to useful statistics for content makers about their tweets using Google Cloud, as well as developing a platform for measuring the performance of ads on Twitter, in addition to helping users find audio discussion spaces that suit their interests and to save this cost. By not completing the contract with them.

Data extraction
Another reason, Abi Najem said, is the “extreme levels” of data mining that polling and benchmarking companies, along with artificial intelligence companies such as OpenAI, creators of the ChatGBT chatbot, use Twitter data to train models with. Its voluminous language is what prompted Musk to limit viewing of tweets and to require companies to pay to withdraw a certain number of tweets.

Subscriptions
The technical expert also indicated that Musk seeks through this step also to force users to subscribe to the paid “Twitter Blue” service, which allows them to browse more tweets of up to 6 thousand tweets for $ 8 per month, which ultimately contributes to increasing the income resources of the company that It aims to achieve profits as any investment project.
Abi Najem stressed that the aim behind these decisions and procedures is to reduce costs and secure sources of income for the company to ensure its continuity.

To read the article on BLITZ website click here