In his complaint, Elon Musk accuses Twitter of having “hidden the truth” about the number of monetizable accounts

Elon Musk tente de s

The conflict is bogged down between Twitter and Elon Musk who have embarked on a legal battle over the agreement to buy the social network for 44 billion dollars. The boss of Tesla, who is now seeking to break this agreement, filed a complaint on July 29 against Twitter before the Delaware Court of Chancery, a court specializing in business law. A lawsuit, contained in a 164-page legal document, in response to Twitter’s claim that less than 5% of its active users are inauthentic. The platform filed a complaint on July 12 before the same court to compel him to honor his buyout commitment or obtain severance compensation, estimated at one billion dollars. Elon Musk approached Twitter in April and then signed a purchase agreement for $ 54.20 per share of the social network, before breaking this commitment unilaterally in early July.

Debate on monetizable accounts

The billionaire assures that Twitter has fraud », by voluntarily increasing the number of monetizable accounts, according to his arguments filed Thursday evening in court, and consulted Friday by AFP. His lawyers, in this 165-page document, accuse Twitter of having masked the truth », claiming 238 million monetizable daily users, but there are actually 65 million less. Moreover, most advertisements » would only be broadcastwith less than 16 million users, a fraction » what Twitter claims. The complaint, which qualifies distorted representations of the social network of sins », affirm that Twitter frantically blocked information from circulating in a desperate attempt to prevent (Elon Musk) from discovering the fraud ». Thus, Musk is asking the court to release him from the agreement and to order Twitter to pay him damages.

Twitter lawsuit against Musk: bots at the heart of the legal battle

For its part, Twitter replies that the businessman rushed the negotiations and that the agreement never mentioned the fake accounts. The lawyers of the social network denounce a attempt to evade a contract that Musk no longer finds attractive since the stock market fell ». Between the general decline in the stock market in recent months, the drop in social media advertising revenue linked to the economic situation and public criticism from Elon Musk, Twitter’s stock had collapsed to around $32 on July 11.

Last Thursday evening, Elon Musk was questioned at Tesla’s general meeting of shareholders about the situation with Twitter. Cautious, the entrepreneur was content to affirm: I use Twitter a lot (…) and since I understand this product very well, I have a good idea of ​​how to guide the engineering team at Twitter to make the product radically better ». But I don’t need to have Twitter for this »he added.

Next step: Twitter shareholders will meet on September 13 to authorize or not this acquisition, which would represent significant added value for shareholders. The trial was set for October 17 for a period of 5 days.

(With AFP)