Why Elon Musk's Twitter deal matters for everyone
It's finally over. Elon Musk owns Twitter, after seven months, two lawsuits and one poop emoji.
Why it matters: Twitter remains the global public square, despite its aging audience. When politicians or other power brokers want to share information or opinions, they usually do so via Twitter.
- Its rules will now be set by a single individual, who also happens to be the world's richest man and one of its most idiosyncratic.
For dealmakers: It's a $44 billion reminder that signed contracts are binding, and of the risks of rushing toward the dotted line.
For Elon critics: You looked silly. First lamenting that he was gonna buy it, and then reveling in his inability to walk away.
For Elon fanboys: You looked even sillier. Not only for the same thing in reverse, but for believing that the lawsuits would lay bare Twitter's conspiratorial soul.
For Elon: He now must figure out how to make Twitter worth more than $44 billion, a price that everyone agrees is too high in October 2022, so that he can eventually find a buyer or take it public without taking more financial or reputational hits.
- It's a very tall task. But not necessarily an impossible one, particularly if the broader markets someday rebound and Elon manages to evolve Twitter into a WeChat-style app that incorporates other services like fintech and commerce.
The bottom line: There are still details we don't know, such as how the financing hole was filled and who will join Twitter in key roles, but the big question has been answered.