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Musk is seeking proof of the share of the spam fine on Twitter for the agreement to go ahead




May 17 (Reuters) – Elon Musk said on Tuesday that his $ 44 billion offer would not go ahead until Twitter Inc (TWTR.N) shows evidence that spam bots account for less than 5% of total users, hours after he suggested that he could seek a lower price for the company.

“My offer was based on the accuracy of Twitter̵[ads1]7;s SEC filing. Yesterday, Twitter’s CEO publicly refused to show evidence of <5% (spam accounts). This agreement can not proceed until he does," Musk said in a tweet.

After putting his offer on hold last week pending information about spam accounts, Musk said he suspected they made up at least 20% of users – compared to Twitter’s official estimate of 5%.

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“You can not pay the same price for something much worse than they claimed,” he said at the All-In Summit 2022 conference in Miami on Monday.

Asked if the Twitter deal is viable at another price, Musk said at the conference: “I mean, it’s not out of the question. The more questions I ask, the more my worries grow.”

“They claim to have this complex methodology that only they can understand … There can be no deep mystery that is more complex than the human soul or anything like that.”

The stock had fallen more than 8% on Monday to close at $ 37.39, lower than the level the day before Musk revealed its Twitter share in early April, and saw doubts that the billionaire entrepreneur would continue with the acquisition at the agreed price.

Twitter chief Parag Agrawal tweeted on Monday that internal estimates of spam accounts on the social media platform for the past four quarters were “well below 5%”, in response to days of criticism from Musk about the company’s handling of fake accounts.

Twitter’s estimates, which have been the same since 2013, could not be reproduced remotely given the need to use both public and private information to determine if an account is spam, Agrawal said.

Musk responded to Agrawal’s defense of the methodology with a poop emoji. “So how do advertisers know what they are getting for their money? This is fundamental to the financial health of Twitter,” he wrote.

Musk has promised changes to Twitter’s content moderation practices, dismissing decisions such as banning former President Donald Trump as overly aggressive, while promising to crack down on “spam robots.” read more

Musk has requested tests of random samples of Twitter users to identify robots. He said, “there is a chance that there may be over 90% of daily active users.”

Independent researchers have estimated that anywhere from 9% to 15% of millions of Twitter profiles are robots. Spam bots or fake accounts are designed to manipulate or artificially increase activity on social media platforms such as Twitter. read more

Twitter does not currently require users to register using their real identity and explicitly allows automated, parodying and pseudonymous profiles.

It prohibits counterfeiting and spam, and punishes accounts when it states that their purpose is to “deceive or manipulate others” by participating in fraud, coordinating abuse campaigns or artificially inflating engagement.

Musk’s comments to a private audience may raise concerns about his disclosure of market information.

Musk, known for his honest Twitter posts, has a long history of skirmishes with the US Securities and Exchange Commission. Recently, a US judge criticized him for trying to escape a settlement with the SEC that requires supervision of his Tesla tweets.

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Reporting by Katie Paul and Hyunjoo Jin in San Francisco and Krystal Hu in New York; and Shubham Kalia in Bengaluru Editing by Kenneth Li, Matthew Lewis, Bernard Orr and Aditya Soni

Our standards: Thomson Reuters Trust Principles.



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