As you probably know, Elon Musk has borrowed about $ 25 billion from various banks to take over Twitter . Now, according to Reuters, Mr. Musk has told the banks that he will reduce the salaries of the company’s board members and also find new ways to monetize tweets.
Elon Musk had to convince the banks that Twitter was making enough money to repay the installments of this heavy loan. As a result, $ 13 billion of this amount was paid based on Twitter itself and $ 12.5 billion based on Tesla shares. The rest of the cost of buying Twitter is paid for by Elon Musk himself.
The report states that Mr. Musk did not provide the banks with a detailed plan for managing Twitter, and that the company’s vision was largely described during his tenure. Elon Musk also tweeted about removing board members’ salaries, which would save $ 3 million in costs.
He also specifically mentioned Twitter’s gross profit in negotiations with banks, which is much lower than companies like Meta and Pinterest. That’s why he believes he can manage the company in more cost-effective ways.
According to the Bloomberg News Agency, Elon Musk has spoken about the dismissal of part of the forces in order to reduce costs. Of course, no decision will be made until full control of Twitter is in Mr. Mask’s hands. He has also announced to banks that he has plans to monetize important and viral tweets. One of these programs is receiving money from sites that include tweets published by approved users or organizations in their content.
Earlier this month, Elon Musk tweeted about Twitter Blue’s paid service and then deleted it. In the tweet, he suggested that the price of the service be reduced, that advertising be banned, and that users be able to pay with DojQuin. Currently, users have to pay $ 2.99 per month to use this service. In another tweet that was deleted, he suggested that Twitter rely less on ads.
An informed source has announced that Elon Musk has considered a new CEO for Twitter, but his identity has not been revealed yet. Elon Musk has explicitly told the chairman of Twitter that he does not trust the current management of the company. Of course, it is said that Parag Agrawal will serve as the CEO of Twitter until the end of the process of transferring the ownership of Twitter.
Elon Musk recently said he had sold about $ 8.5 billion worth of Tesla stock. Tesla’s CEO has told banks that he will keep Twitter content monitoring policies as free as possible in accordance with the legal requirements of different countries. It should be noted that the $ 13 billion loan paid to Elon Musk based on Twitter itself is about 7 times Twitter’s projected gross revenue in 2022.