of twitter.s had that experience with them before. now he is coming out and using the bot issue as a reason to walk away from this deal, or attempt to walk away. i really think we will be parsing this for a while. my gut initial read is he is trying to set up his narrative for why he thinks twitter is responsible for this deal falling apart, and not him. he is doing that because if he is the one who walks away, or makes this an issue, twitter might be able to sue him to complete the deal. caroline: kurt wagner, we thank you so much for all of the breaking news analysis and crystal tse as well, giving us an analysis and nuanced to what we are learning. that is elon musk is looking to terminate the deal to buy twitter. we will have so much more on the market moves and market moves with tesla. stick with us. this is bloomberg. ♪ caroline: welcome back to "bloomberg technology." yes what? breaking news. elon musk has started the process to try to terminate the deal to buy twitter. he is calling out f

what does twitter get out of that?hey have the papers. >> rectum if i am on the board, a long shareholder looking at the share price at $34 he will buy it for $54, you believe i am wishing hard on that, it is worth going to court and facing some litigation costs. thank you so much. i will turn to mike co., with us from our options action team. you mentioned there wasn't some option activity going on in twitter ahead of this news. for our audience that was not here talking through that, can you give us what it might have indicated to you then and now? >> sure. so, twitter is always a very active single stock option, but to give some perspective, the average daily put volume in twitter over the last 10 trading days is less than $30,000 -- 30,000 contracts per day. there was a slew of options activity after the deal was initially announced. we saw a big spike, but even looking back 20 days, 102,000 contracts trading today, was well above average. three times the 10 day trading volume or more. the most active contracts wer

on twitter who blocks somebody else on twitter or some minor twitter dispute. it's just kind of comical and so it doesn't lead to a lot of confidence as an employee that you're going to feel like, wow, you must go to the rescue and he's going to make this a better place. he'll mess around. no criticises. he'll lay some people off, they'll cut costs and issues them, eat it, and then maybe i'll get distracted by some other sign. the object that i'm left trying to clean up the damage. chelsea. picking up on that free speech angle, ask you the same question that we put a little earlier about what twitter would look like under on a masks ownership. and what does this whole saga tell us about the importance to society of a platform like twitter should social media platforms be regulated in such a way that they can't be owned by someone who will soon move on to that? to a new shiny object as, as jim just said, and should they be more strictly regulated in terms of their content and what people can and can't say on them. oh, yeah. okay. so that's, that's a question for

e e e. lon mosque has dropped his bed to buy twitter. he's accused the social media network of withholding information about fake accounts. twitter plans to assume us to compel him to make good on the $44000000000.00 deal. ah, does the world's richest person have buyer's remorse. ellen musk decision to pull the plug on buying. twitter adds yet another twist to a saga that has gripped wall street. it's wanted to. busy crazy as business stories ever, and i think it started off as a circus show and attending as a circus. sure. the story started back in march when musk announced his intention to buy twitter and loosen it's free speech rules. the 2 sides reached an agreement in april with musk using his tesla shares to fund the take over as will of course, weeks later, he announced the deal was suspended. citing concern over the number of bots and fake accounts on the platform. twitter insists that less than 5 percent of its accounts are span, but must believes that number could be as high as 20 percent. musk also says twitter failed to provi

twitter is a relatively small player. we expect twitter to rick and 1% of worldwide digital ad revenue this year -- to rake in 1% of worldwide digital ad revenue this year. tiktok is double where twitter is expected to be by the end of this year. for a small tear player, this is probably a tough quarter. emily: you have twitter still making product announcements in the middle of this, trying to portray this business as usual environment when all of this is unprecedented. i'm. how you think a courtroom battle -- you've also got u.s. midterm elections. how do you think this is going to impact engagement? jasmine: twitter has been rolling out new converts related tools in order to prove to advertises that it is business as normal, but it is in. twitter is a platform that thrives on news and controversies. there is a possibility that people login more, sign up for the platform to watch the drama. we also heard some people may have left the platform because they did not want it to be controlled by much. i am expecting to see s

he says he loves twitter, he's a very prominent twitter user, he loves free speech and felt the twitterway, so he said this had nothing to do with the financials particularly, but about a product that he loved that had lost its way and that he was a "free—speech," i think, "absolutist" he said, and that he wanted to kind of protect free speech on twitter. the problem with that is it's a slightly naive thing to say because then he couldn't really define what free speech was to him, couldn't define how it was going to be moderated — he said it would be down to the laws in different countries — well, that isn't protecting free speech, then. it then got very difficult for elon musk. a lot of criticism. he may have thought, "you know what? "it isn't worth it. "i've bitten off more than i can chew." "the deal is less good financially than it used "to look and i would rather get out of it." this way of saying there are all of these spam accounts on twitter is the best way for elon musk to do that. we don't know what is going on in elon musk�*s head but that is certainly what a lot of people ar

i've run surveys on twitter for 10 years. advertisers surveys on twitter for almost 10 years. it has never come up as an issue. i've never had a channel check or discussion with an advertiser that said i can buy ads on facebook, but i cannot do it on twitter because of this issue. i have never heard that. that there are bots, that there are farms in social media, i think that is well understood. it is part of the peril of these industries and of these companies. twitter, pinterest, google, a spoke have -- facebook have had to fought -- fight against these forms. people run a bots for political reasons and commercial reasons but it has always been a factor. i do not think it has been an issue for advertisers. i think 5 billion in ad revenue that twitter got last year, they earned it. and i think advertisers were not put off by the fact that there were lots on the platform. caroline: has there been any upside to be whole fiasco for twitter? mark: i am struggling, caroline. i think there has been no upside, so all you have done is created a lot of dysfunction within the company.

saying they said i couldn't buy twitter, now they want to force me to buy twitter in court. twitter ceo says the company plans to take musk to court to enforce the transaction on the $54 per share price tag that musk agreed to buy the company. board is upset, they don't have buyers to match the price tag. >> board should be upset. he has wasted a great deal of their time. can't even use the determine distraction for what he's been to the company. >> reporter: twitter stock lost more than a third of its offer since the board accepted the musk offer. he claimed that twitter couldn't give him a number of actual useers. >> $1 billion breakup fee and the money liable for with specific performance. i suspect negotiated settlement between 1 and $45 billion. >> reporter: believe that twitter is in. could take months to sort out. >> thank you. >>> turn now to the historic change that swept through the island nation of sri lanka over the weekend. after thousands of protesters stormed the presidential residence over country's shortages of fuel, food and medicine. cbs's elizabeth palmer

i officer sits at twitter, but also part of the because these governments have been using twitter or even there was a famous story a few years ago. if you remember of setting up a twitter clone in order to form a resume, change operations in cuba. there was talk about using twitter to coordinate the protests during the so called arab spring back in 2011. there were plenty of, there was a story just the other day of a famous, you know, canadian ukrainian volunteer. who was essentially a twitter goes, was the twitter equivalent of the goes to yes, the completely fake account promoting the ukrainian cars at twitter has sort of more into this narrative shaping weapon and for a government or coalition of governments that essentially live in this manufactured could you consent law land it's, it's the perfect way to shape this fake reality. and it stands to reason that they would be putting the premium on twitter to do so. which is why they've been so upset when musk said he intended to buy it. and now they're trying to force him to do it at the, at a particular price point. twitters defens

, i'm not sure that stockholders in twitter, investors in twitter, stakeholders in twitters should accept that deal i think this is a lot of posturing to bring a strong position to the negotiating table, but if that is the actual end result, that they sell the company to someone they do not trust, that's what i keep saying, litigating this to the end is a bad idea for both parties. litigating it to the end for elon is a bad idea, because he's still got to stake tesla against twitter. there's a lot of complication here that should force this to a sell >> that's an interesting point what is a fiduciary's duty, right? is it about price or is it ability the responsibility of a new holdering? and either way, is the board open to all kinds of litigation from here on out >> yeah, well, we've talked a little bit about this in the past leading up to the offer and whether or not the board was putting their own personal interest in front of the interest of the shareholders which to your point is the a fiduciary responsibility of a board and one of the reasons of the governance for a board and i thin

well, twitter 1st resisted that. the board actually pushed back and said they didn't want him to be on the border as a shareholder valet to reverse those policies and then welcomed him in and welcomed his bid. presumably because he was offering to pay around 40 percent more for his shares and they were worth at the time. well, since then, the deal has really unraveled. in the mean time mosques tweets have been irrational, have gone from positive to negative. to bizarre. he speculated about what other companies he might purchase, but interestingly, he did not tweet this latest news. this actually came from his lawyers. now must claim said he was misled. any merit to that argument? will legal experts say that he will stay able to make that argument? because twitter actually does publicly say that around 5 percent of its users are spam accounts, or phase accounts now must claims that that number is actually far higher and that he was misled by twitter and that it failed to provide him with full information. and therefor

bernstein rights if twitter understands the game musk is playing they would have deleted his twitter account over the weekend. are they joking? does twitter need to handle this the way of the game eamon musk might be playing >> i have to point out that the tweets that elon musk posted late last night, i would have to guess that his legal team did not approve the posting of these tweets there was a chessboard photo there was another meme of him laughing and basically making fun of the fact that think told him he couldn't buy the company and now they are forcing him to buy the company and, of course -- >> yeah. so could they take him off. >> he committed -- could they block twitter? >> there's been so much destruction. yeah, he hasn't done anything illegal or against the code of conduct or ethics that they have, but i just wonder, you know they sit back and they are playing by their rules, you know what would that look like, and could they actually do something like that? >> among all the things the twitter board is thinking about right now, i think pulling elon musk off the platform i

he won, must drops his bid to buy twitter. the world's richest man says the platform allows to many pots in fake accounts. the deal was worth $44000000000.00. twitter now says it, it tends to take legal action. also coming up japan in div morning, a convoy of cars escorting the body of shingo ave arrives at his home in tokyo. japan's longer serving government leader was gun down yesterday at a political rally. and a multi lateral summit becomes a diplomatic show down over the war in ukraine. russia is foreign minister is said to have walked out of a meeting of the g. 20 in bali delegates. shay sergei, lad rav clash with western counterparts over rushers invasion of ukraine. ah, i'm michael ok. welcome. teslas c e o elan must, has dropped his beard to by twitter. he's accused the social media network of withholding information about fake accounts. twitter plans to assume us to compel him to make good on the $44000000000.00 deal. ah, does the world's richest person have buyer's remorse. ellen musk decision to pull the plug on bu

now it is twitter's turn, right?n friday, you and i were live on air when we were reading this letter from elon musk's lawyers, basically saying hey, twitter, you violated this agreement. now twitter has filed its response and is basically saying the opposite. you know, we have upheld our version of the agreement, or part of the agreement and it is you that has been misleading or has violated. so we are clearly headed to a court hearing. both sides are going to get to argue their case, but for right now, the lawyers are starting to their respective arguments out into the universe. caroline: what are some of the theories being held as to how it could turn out, who could win out? it's not just going to be a $1 billion termination fee, it feels. kurt: no, i would be shocked if that is the ultimate result. i would imagine we would end up somewhere in the middle. i think there are two traumatic outcomes to come from this legal battle. the one is what you just said, a court rules in favor of elon musk and he pays a termina

twitter said yesterday it may delete a million bots a day from twitter. elon musk says is i bought something underfalse pretence, i thought there were way more active users on twitter than there are actually are. as a result of that you breach the contract and is it a result of that and pulling out. where is twitter saying no, we told you all this information, we've given you all the information you need and you are now in breach of this contract, we want to carry on with this deal, it's a good dealfor us and we with this deal, it's a good deal for us and we will see you in the us courts. as you say, an absolute standoff between twitter and elon musk. to be honest elon musk looks like he was trying to get out of this deal for weeks. was trying to get out of this dealfor weeks. this is the final confirmation of him trying to do that. it's about out to very expensive lawyers who are trying to thrash this out. , ., . ~ out. interesting going back throu~h out. interesting going back through twitter, _ out. interesting going back through twitter, ironically, i

so is all this good or bad news for twitter and it's uses? well, it's certainly not good use for twitter board or it's shareholders. there's speculation that when the market's reopen on monday twitter share price could fall by as much as 30 percent. but as far as it's users goes, there are some who will be very relieved. because nila mask has a very absolute view on freedom of speech, he had plans to loose and twitter content moderation and let people say more. and there were fears that this would turn twitter into a cesspool of extremism of hate speech of conspiracy theories. and of course then there's donald trump, there are very some people who are very happy that trump will not be given back the microphone of twitter for his future ambitions. but the saga is not yet over. and if there's one thing we know about it must, it is his capacity to surprise probably even himself wondering what the next surprise is going to be to. well, do roy, thank you. ah, yes. a quick look at some more stories making news around the world. at least fancy peopl

speaking of twitter, some headlines just crossing now about twitter's feud with elon musk.g he does not have enough information about spam and bought accounts. saying it's an irrelevant sideshow, urging -- expecting the first hearing in this legal saga tuesday. we will be back with more "bloomberg technology." this is bloomberg. ♪ emily: despite the major success of the latest season of "stranger things" netflix investors have been bracing for subscriber losses. shares are down, inflation has forced consumers to be more selective, but shares jumped to kick off a week ahead of earnings. why are shares climbing ahead of what is expected to be a not so great report? >> optimism that things will be better than expected. netflix had forecast they would lose 2 million subscribers in the quarter, which would be their worst quarter ever. meaning for the year they would've lost 2.2 million. there is some optimism based on reporting third-party analysis and just the obvious success of "stranger things, that maybe they will lose 500,000 or one million instead of 2 million. i also thin

and by the way, he used the responses he got on twitter. we will use all this and some of the books that came not from people like bob woodward is that we learned that he the reactions he got on twitter in policy literally world defining policy was happening on twitter. >> so let me go back to the first discussions because that became kind of kind of first and foremost. everybody's talk about this merger and that's what elon musk was saying. and then now he's backing up because the dollars sign. so which one was it >> well, i mean, it certainly he argues that he got involved here because he worried about free expression, any constitutional lawyer will tell you that the interpretation elon musk was giving was quite askew and that we've explained a lot of that. i've seen that. but the bottom line is now he says that, you know, we all should go in the trash bin because it he claims twitter has not been honest about how many users on its platform, which again, is a thing that he's he's claiming that this company is doing. >> so musk is going to

what is twitter worth?re are a lot of investors right now weighing the strength of his case versus the possibility that he actually were to prevail, somehow. and, therefore, twitter would be an independent company, again. where'd you come to in terms of evaluation? >> with the economic cycle being incrementally worse and twitter having seen 5% disruption, the longer this persists, the worse the fundamentals get. i look at tears, right now. trading around 10 times. twitter still having a high teens multiple. to eject you could be looking at something that could be 40% to 50% lower if something doesn't occur. a unique scenario where twitter absolutely wants to close things and you have to wonder if elon musk is in a negotiating tactic or if he has actually changed his opinion. >> and that explains why, initially, twitter wasn't keen on selling the company. now, they are going to delaware in order to try to ensure that this deal closes. but another option is that of a settlement. i am curious. you have given u

plus, twitter wins for now. a judge grants a company request to fast-track a lawsuit against elon musk. the trial scheduled to start in october. we will explore this particular judge's record and what it tells us about each side. and as a major crypto letter and all of that, is regulation the answer ahead of u.s. policy of coinbase? talking about the way out of the ashes of the crypto crash. we will get all of that in a moment but first, look at the market. tech pushing u.s. stocks higher as earnings seasons get well and truly underway. ed ludlow is here with the very latest. >> interesting session. 490 four stocks with the s&p 500 in the green on tuesday. that is the sort of breath in a rally we have not seen since march. the opera performance in the technology sector, the nasdaq 100 is up. that is the risk on appetite is it really took hold. you see the yields climbing higher. bitcoin caught up in that, up to 23,000 u.s. dollars. beyond that point, the highest level in exactly a month. the market speculating t

the twitter board says they will see him in court. >> reporter: the table is now set, here at twitter headquarters for what will be a major media legal dispute between billionaire elon musk and twitter. the ultimate judgment could be worth more than $40 billion. >> according to the news i saw, there are just so many fake accounts. >> there was just too much unknown. >> reporter: bay area social media users response to the bombshell news that elon musk is backing out of his offer to buy twitter for $44 billion. in a letter to twitter, attorneys for muscat said in part that mr. musk is terminating the merger agreement because twitter is in "material breach of multiple provisions of that agreement, appears to have made false and misleading representations upon which mr. musk relied when entering the merger agreement." the letter is an exhibit in an securities and extend commission amended filing today that makes musk's intention to back out official. -- professor dr. nolan higdon, who specializes in media communications history, says he questions musk motives because of the timing, while

plus elon musk pulling the plug on his twitter buyout bid and twitter saying see you in courtship. we have fox news team coverage on all of this. christina coleman is standing by on the twitter saga and chatted program is at the white house. but first to bill melugin live at the border and eagle pass texas where he has been for the past couple of days, builder. >> and nina good afternoon. it has been nearly ten months in the white house, that media, politicians, all falsely click horseback border patrol of whipping patient migrants in del rio last summer. and finally, announced yesterday the results of their investigation which they say show no evidence whatsoever that any migrants were ever whipped or struck by these horseback agents. however they did an answer going to discipline four of those horseback agents for alleged administrative violations including working in an unsafe manner and alleged unprofessional conduct for it in particular this a one agent use derogatory language toward migrants and maneuvered his horse in a near safe weight near a child with a several other agen

>> i think she did share twitter's argument at least it resonated with her that twitter saw this as ansk who wanted to delay and keep twitter twisting slowly in the wind and suffering injury and she did say that. she said delay was going to harm twitter and face it with business destroying uncertainty so this is so far suggests that twitter and this court, this judge, are on the same wavelength. liz: let's go into this judge's mind. she has made a ruling last year that you feel is extraordinarily significant to the potential outcome of this one. >> you are right. this judge has dealt with the big mysterious question. would a delaware court order specific performance ordering the bidder to complete the deal and buy the company at its original price even though there were billions upon billions at stake. it's a $44 billion total deal, but she had this case last year, and in a case that she decided on april 30 she told the private equity firm that they had to complete a smaller deal, a half billion dollar deal, but she said there had been no material adverse events, no reason to get out,

so this discussion is not necessarily true, but to twitter. i mean, they came up with a number a couple of months ago, and so now obviously milan must says that is not enough. so this is the one side of the modality. and if you look at it from the other side, i mean what, why it didn't come up earlier before signing the agreement to buy a twitter earlier in april. so at the end of the day, it might be the courts to have to decide if mosque has a case. yes or no. and who knows, maybe they will also settlement beside the court. but one thing is for certain there is a lot of legal stuff going on in the next couple of months. well, yeah, i'm glad you bring up the courts because this is something i want to know about. i mean, how likely are they to actually force him to pay $44000000000.00 for a company that he doesn't even want? well, i mean, it has happened in the past. that court actually decided that the company has to purchase another even if they try to step aside the type of food, for example, what's going to an example like that? but then t

in on mosque has dropped his bed to buy twitter. he's accused the social media network of withholding information about fake accounts. twitter plans to su mosque to make him complete a $44000000000.00 deal. ah, does the world's richest person have buyer's remorse. ellen must attempt to pull out of buying. twitter adds yet another twist to a saga that is gripped wall street and silicon valley. it's wanted the craziest business stories ever, and i think it started off as a circus show and attending as a circus sher ah. the story started in april when musk announced his intention to buy twitter a move 1st opposed by the company. they eventually reached an agreement with musk, seeking billions from other investors to fund his bid. but within weeks he said the deal was an ice citing concern about the number of bots and fake accounts on the platform. twitter states that less than 5 percent of its accounts, the spam musk says he thinks it's closer to 20 percent. the company isn't giving up without a fight. twitters chairman brit taylor twe

we think twitter has a 60% chance of winning.hen you wind up in a category of 5-8 billion dollars but i think elon musk would have to pay if he wants to walk away. jon: let me ask this slightly differently from the vantage point of what elon musk has put on the table. there is so much focus on spam. how strong do you think his case is? >> he made his case on friday and he set out three points to suggest that twitter has breached its side of the agreement. i am not persuaded that any of those reasons will be compelling to a court. first he said that twitter is not complied on sharing information with him about these bots. while twitter does have a duty under the contract to do that, is not unlimited. they get to make reasonable judgment about whether that will harm it competitively and what -- and whether it would violate the law and even if twitter breached that agreement, only a material breach would let elon musk walk away so i'm not sure the judge would buy that and that's probably his strongest argument. his argument that twi

it was his idea to try and by twitter or twitter didn't seek him out . he then offered more than 40 percent above the company's share price for the deal . he then had to go and get the money which he didn't actually have, and he had to go and find other investors and banks to raise the capital. and he actually still doesn't have it altogether. he had to sell off some of his, his teslas stockman. so we did learned that the world's richest man on paper doesn't actually have that much money in the bank. now, his tweets on this topic of swung really from positive and negative to completely bizarre. but interestingly, he did not tweet about this announcement trying to cancel the deal. this came from a statement from his lawyers. that is definitely very interesting. now here's what he says. he's claiming he was misled. now, what do you make of that argument? well, some legal experts say he's gonna have trouble standing that up in court because twitter doesn't make a secret of the fact that it has a problem with bots and fate accounts. and he puts a number arou

twitter update percentage points. the latest being that twitter has sued elon musk to hold its original deal. netflix up 1.2%. the deal with microsoft, who will provide digital infrastructure for an ad supported version of netflix. they're going to provide the backend essentially, a platform for the ads and for the sales. worst performing stock on the nasdaq from hundred -- 100 was google. reported by bloomberg that they are slowing down hiring and the sunnier days quote thing is in the air are over. sorry to ed on that. -- sorry to end on that. emily: thank you. so what does another round of high inflation data mean for tech specifically? with earnings season about to get underway i want to bring in liz young. what are you expecting. is every day going to be like judgment day for the next six weeks? liz: i think it might be and this is not just tech specific, these comments. i think earnings season, what needs to happen is we see revisions downward. usually, things happen in a sequence. as we have already seen, the m

we will get back to the latest with you on twitter and -- with elon musk and twitter.dlow is becky with the headlines. we read some of the fine print now. >> twitter is saying that muska did not have the right to walk away. they say he agreed to a certain amount per share. in that he can't walk away. we have this court filing we can bring up on the screen. musk believes that he is free to change his mind. trash the company, disrupt its operations, destroy stockholder value. and just because the stocks are generally falling down in the sector, he can just have buyers remorse is that basic argument. >> most lawyers we spoke to with bloomberg -- it comes down to material adverse effect. musk's argument is that there wasn't enough information handed over. musk could win if what they shared did alter the value of the deal. >> silver coin capitals may have a million dollars for your startup. they say they are looking to fund outlier founders and teach them how to make their ideas a reality. we have the partner at sequoia capital here to tell us more. walk us through division

where does that leave twitter?ould be uncertainties about where elon musk would want to take twitter, even if he remained a willing higher. now by your reasoning he is going to end up being a buyer who doesn't want to buy that, especially at the price. what assumptions can you make in the future of the is this in that environment? barton: it is not going to be in our lab but it will be on elon musk's lap. the board is working with the shareholders. i have tons of sympathy for the employees of twitter. it is a terrible circumstance. i don't know what elon will do. i don't know that any of us do. i would hope you would refocus and use some of his genius to figure out the best road for twitter. there could maybe be a good outcome at the end of the day. alix: you are looking at a neutral rating on snap and that is down 36% today, destroyed before that. the price target is 14. 14 feels far away. how do we get there for snap? barton: the this is an incredibly -- this is an incredibly volatile stock and the fundamentals i

twitter chairman says twitter plans to pursue legal action to enforce the merger agreement. so it is going to the courts were going to the lawyers. will feel they take their things. have a great weekend everybody. ♪ >> this just income elon musk sending a letter to twitter seeking to end the $44 billion deal citing a lack of information from the soviet media giant when it comes to spam accounts pretty will get that later. i did administration take a victory lap for a better-than-expected june jobs report. but weren't prices on gas and groceries not easing recession fears for american wallet spreader also going to have some tragic news to go over tonight. former japanese prime minister's dead will giving a shop will giving a speech in western japan forgot the legs on that. the nation has had enough of these awoke das hard working worker into rikers island after fending off a violent ex-con pre-has been released from jail. even york mayor eric adams has supported the business owners actions claiming self-defense. also, main street media ignoring the voicemail joe biden alleged

about the number of fake accounts on twitter or twitter. 75 percent must because he's not happy with all the information he seen backing, backing that number up. it's very difficult not to notice that since musk made the steel shaft price or twitter slid. and it really does seem that he is overpaying over paying for twitter. so he says, right, i want to back out of the feel. the problem is he did sign a pretty cost agreement to bite, which are on this there extraordinary circumstances. there is a $1000000000.00 penalty that's not much from us, but there's also a specific clause in that which allows twitter to force mosque to go through with a deal at the original terms. if the reasons must gives back out of the deal, seem to be frivolous on this. frankly, if seem to be not taught to meet the requirements of moscow escape by closer to it . it does have a very strong legal case if thought and twins already said it will be taking will be taking must to court. very magic is a technology technology analyst and the ceo of connect safely dot org. he says that a lot of factors are a play in

on twitter. this reads quote they said it couldn't by twitter. they wouldn't disclose information and now they want to force me to by twitter in court. now they have to disclose but information in court. then we have this jen, chuck noris playing chess with the caption chuck face. [laughter] i am amused but not everyone is. angry twitter employees accusing him of destroying the company. some investors are understandably furious because twitter stock has taken a dive since april and some conservatives claim they are worried with the rate will mean for free speech on the platform even former president trump has waited on the fiasco. >> elon is not going to by twitter. where did you hear that before? from me. thank you. she says thank you. he's got himself a mess. do you know what he said the other day? voted for republican. you told me you voted for me. [laughter] is another [bleep] artist. kennedy: awkward. what happened? we don't know. did elon bite off more than he can chew? i don't know. he's got a $230 billion mouth. i think he can chew quite

twitter - position. how has twitter responded? twitter has l responded ? twitter has responded?e pretty much been responding through this tumultuous deal. they have said repeatedly that they would enforce this merger which means they would sue and today, they said they intend to sue him, so unless something is either, i imagine there are very dramatic talks happening as we speak but unless something comes to fruition over the weekend, they come to some sort of terms, maybe a renegotiated price for this kind of deal, i imagine a lawsuit is being drafted currently and is being filed or will be filed on monday. it looks like a bit of a legal stand is imminent. what happens next? ~ ., , stand is imminent. what happens next? ., , ., stand is imminent. what happens next? ~ ., , ., ., stand is imminent. what happens next? ., , .,. , next? well, it goes to a very secific next? well, it goes to a very specific court _ next? well, it goes to a very specific court here _ next? well, it goes to a very specific court here in - next? well, it goes to a very specific court here in the - specif

>> twitter or tesla? >> for me, it is twitter all day long. i can't stomach tesla. we are in a difficult environment. i think the story is a very exciting one. there are carmakers i would rather own. >> you can see the road ahead for tesla in terms of the shared gains and the new factories spirit. we don't know what the road ahead is for twitter on the things we are waiting for and waiting for. >> there is no good news. to me, this is a would you rather. as a company, we have questioned the box and we have determined there are no other buyers for it in the high market selloff. by the way, later on in the show, we are going to start talking about how high multiple tech is starting to rally. twitter all day long. >> courtney, what would you say? >> i have to agree here. i have to do a would you rather. i think tesla is just so expensive right now and i don't know how much we can justify that especially when you compare it to ford or gm where it is significantly cheaper. not that i would necessarily buy on twitter, but i would go for twitter. >> i feel like pete might

that's certainly on my twitter feed, there's a lot of support for twitter.'ve seen employees seem to be happy with how the company is handled this. it's about trying to remove a lot of the uncertainty because the company has been this weird state for months where they say it's business as usual, but you can't imagine you are going to be putting a six or 12 month product roadmap out the door when you have elon musk covering there. they want to do this as quick as possible so they can get back to doing things like shifting products and improving the business. emily: how do you think elon musk, larger-than-life personality, he has 100 million twitter followers himself. if we are talking about the court of public opinion, elon musk has a lot of fans. how will that influence this trial? eric: there is a sense in which it already had. one of the arguments his lawyers made today's you can't leave this deal in limbo when it may just be thrown into utter chaos if we are going into another years worth of litigation. that may be in part due to their argument talking ab

and it on mosque drops, has been to by twitter. the richest person in the world says the platform allows to many bought and fake accounts. are twitter says it's coming to take legal action. ah, i'm hello mohammad. welcome to the program. we start entry long, come we're the speaker of parliament says, present. got to buy at raja park, so we'll step down on wednesday. that's after protestors stormed the presidential palace in colombo and set the prime minister's home on fire. public anger is has been growing over so long cuz economic crisis. people are facing shortages of fuel, food and medicine. the country doesn't have enough money to pay for impulse. critics accused roger boxer and his family of corruption, the prime minister says he'll also quit if unity government can be formed. let us get more from marlin or a sing. he's a senior assistant editor at the himself, asian in colombo, the capital, osh lanka there. so could you were getting some reports now that the president to go to by roger pox, the plans to set down on july 13th.

is trying to terminate the deal to buy twitter. you can see extended hours are falling sharply, more than 6% down on these headlines, facing issues including fake accounts. something that he has been really stuck on for some time, and has bothered him very much about the business of twitter. juliet is talking about sun valley, how many executives seem to be excited about how he may be giving up on this because many of them also had reasons why they would agree with his initial idea but potentially right now, this deal looks like it may be off here. below $35, down about 6% right now. tim, do you have thoughts? i know we talked about this one ad nauseam but if this really is the real deal, it is ending, what are your thoughts? >> elon is the gift that keeps giving. karen heinemann, back when this deal was coming together, i don't know where she sits in that position but good for her. and, i see twitter now back to before this elon story, i think you have to look at the company through a different lens, because we have now confirmed

he says he loves twitter, he is a prominent twitter user, he loves of free speech, has said that twitters way, so he said this has nothing to do with the financials particularly, this is all about a product that he loved that has lost its way, and he was up for free speech, and absolutist, and he wanted to kind of protect free speech on it twitter. the problem with thatis it twitter. the problem with that is that it is a naive thing to say because he couldn't then define what free speech was, couldn't define how it would be moderated, he said it would be moderated, he said it would be down to the laws in different countries. that isn't protecting free speech than, so it all got very difficult for elon musk. a lot of criticism. he mayjust afford, this is not whether, i have bitten off more than i could sure, the deal is much less good financially than it used to look and i would rather get out of it. in this way” rather get out of it. in this way,, saying they are all the spam accounts of the best way for him to do it. we do not know what is going on in his head but that is what many spec

some new ideas within the twitter ecosystem. there are others who the last thing they wanted to see was a must take over, to be part of the circus. as far as the morale right now, extremely depressed, not to mention what is going on with elon musk, but the underlying market and macro conditions. katie: you've got your price target but you still have a hold rating. what would you need to see that would bump you up to a five? angelo: i don't know if there is anything, to be honest with you. and a lot of that really has to do with the valuation. if investors were to somehow see a higher level than where we are sitting here today, it would largely have to be dependent on what actually takes place. if we continue to see positive developments in favor of twitter over the next couple of months, i think that is where you kind of get some movement in the stock price. guy: thank you very much, indeed. senior equity strategist on what is happening with twitter. thank you very much, sir. this is "bloomberg." ♪ guy: 25 minutes to go until th

that is twitter. elon musk has said he wants to back out of the $44 billion deal to buy twitter under three months on from launching the bid for the social media platform you can see that the stock has been trading down about 7% as the frankfurt listing of $33 the bid, at $54.20. elon musk is now trying to back away from the deal it will go to the courts it will take a long time to resolve. we will talk about that on the show one of the stocks we are keeping an eye on today. >>> we mentioned this as well. we had a weak hangover from asia the nikkei up 1.1% upper house elections there. good victory for ldp hang seng and shanghai are deeply in the red with some major develop pments over there let's get to jp ong with the chinese markets. good morning, jp >> good morning, joumanna. we have to qualify there is still about 13 minutes before the hang seng wraps up in hong kong currently the hang seng is down 3% this monday out in hong kong. a lot of stocks are pulling back it is a bit surprising because a n

when we come back, we'll mention twitter again. round one goes to the company and its effort to enforce elon musk's takeover agreement. we'll get to some of this gas situation in europe as well as the eu proposes gas rationing. we'll showing you what uk's nat s ic a dngodgapresreoi tay back after a break to freeze your pain and your doubt. heat makes it last. so you'll never sit this one out. new icy hot pro with 2 max-strength pain relievers. your record label is taking off. but so is your sound engineer. you need to hire. i need indeed. indeed you do. indeed instant match instantly delivers quality candidates matching your job description. visit indeed.com/hire as a business owner, match your bottom line istion. always top of mind. so start saving by switching to the mobile service designed for small business: comcast business mobile. flexible data plans mean you can get unlimited data or pay by the gig. all on the most reliable 5g network with no line activation fees or term contracts... saving you up to $500 a year. and it's on

we have seen twitter so low.musk geithner sous, it could go to trial very quickly. -- elon musk counter sues. in court for years, some are bracing for. emily: what happens to twitter in that time? ed: it is a real financial headwind, it is a public relations headwind for them. emily: for employees? they are trying to recruit people, keep the trains running. ed: that was part of what twitter ceo said two employees on wednesday could we are facing a changing economy and a difficult case. raise yourself. emily: what are we hearing from employees? i know you were talking to a lot of people. ed: if feel like twitter's management has been on the back burner this whole time, they should have been more proactive. that elon musk's whole hand a few weeks ago -- it was the final straw for a lot of employees. and they have frozen hiring, cut projects. it is not as happy -- a happy place to work. emily: indeed. all right, ed ludlow, thank you. that does it for this edition of bloomberg technology. tomorrow, we will be joined