Elon Musk Will Not Join Twitter’s Board, Company Says

Elon Musk, the world’s richest man and Twitter’s largest shareholder, will no longer join the board of directors of the social media service, the company said late Sunday night.

The move ended a whirlwind week on Twitter that was set by Mr. Musk, 50. On Tuesday, Twitter announced that the billionaire would be appointed to its 11-person board for a term ending in 2024. Invitation to join the board Mr. Musk became the largest shareholder in the company, accumulating 9.2 percent.

But Twitter’s chief executive Parag Agarwal tweeted late Sunday night that the situation had changed. On Saturday morning Mr. Musk – who is a huge Twitter user with over 81 million followers – told the company he would no longer be a board member, Mr. Agarwal said.

Mr. Agarwal said this in his tweet. “Elon is our largest shareholder and we will be open to his input.”

No reason was given for the reversal. But Mr. Musk had been tweeting erratically all weekend, voting for his followers with thorny questions about the future of the social media company.

In a post on Saturday, Mr. Musk Asked“Is Twitter dying?”

In another, he suggested turning Twitter’s San Francisco headquarters into a homeless shelter because “no one is visible.” He also slammed criticism of the company’s products, at one point suggesting that Twitter Remove ads Completely out of service. (Most of Twitter’s revenue comes from advertising.)

Under corporate governance principles, board members are required to act in the best interests of the company and its shareholders. Agarwal pointed this out in his tweet on Sunday evening. He also said that Twitter’s board was “clear about the dangers”. Musk decides to join as director.

By not joining Twitter’s board, Mr. Musk will no longer be bound by the previous agreement he made with the company. Under a “standstill” deal last week, it promised to buy more than 14.9 percent of Twitter’s stock and not take over the company. It indicates that Mr. Musk can now continue to add to the company.

The resulting Mr. for Twitter. Agarwal’s post. In a tweet on Sunday night, Mr. Musk did not address the situation directly with the Twitter board but posted a hand emoji on the face.

Mr. Musk, the leader of electric car maker Tesla and rocket maker SpaceX, is famously Mercury. He has repeatedly thrown jabs at Twitter, trolling Tesla’s short sellers and insulting his critics. In 2018, he thought about privatizing Tesla in a tweet and unequivocally claimed that he had funded the transaction, he was fined $ 40 million by the Securities and Exchange Commission. Mr. Musk later said he disagreed with the SEC’s decision.

When Twitter announced in a SEC filing on Monday that Mr. The news that Musk had bought a stake in the company was greeted with fanfare. As a prolific Twitter user, Mr. Musk’s investment was seen as a vote of confidence in the company, which saw his stock rise more than 25 percent that day.

Mr. The purchase of Musk’s Twitter stock also came at a critical time for the company. Twitter has been going through a transition since the company’s founder Jack Dorsey resigned as chief executive last year. Mr. Agarwal, Chief Technology Officer, has been appointed in his place.

Twitter later announced on Tuesday that Mr. Musk will be the new Twitter director with a term on the board starting Saturday.

Mr. Agarwal and Shri. Dorsey made public remarks welcoming Mr. Musk for the board. Mr. Musk “will bring a lot of value to our board,” Mr. Agarwal tweeted that a conversation had taken place between the company and Mr. Musk in recent weeks.

Mr. Dorsey wrote on Twitter.

The friendly comments were based on the fact that the three men appeared to share similar thoughts. At various times, everyone has talked about reshaping social networking by radically transferring power away from users and large companies. Such a move towards “decentralization” would give people more control over their social media feeds and theoretically allow more free speech online. Mr. Musk, Mr. Dorsey and Mr. Agarwal is a supporter of all more free speech.

Mr. Musk also tweeted that he was “looking forward to making significant improvements to Twitter in the coming months!” He did not elaborate on what those changes might be.

Then the weekend turned upside down.

“I believe this is for the best,” Mr. Agarwal said in his tweet on Sunday. He added that Twitter employees should “remove the noise and focus on the work and what we are doing.”

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