Samuel Case, FISM News
Billionaire Elon Musk will reportedly step in to serve as the temporary CEO of Twitter following the completion of his $44 billion purchase of the social media company, according to CNBC.
Musk will replace current Twitter CEO Parag Agrawal, who has only held the position since November when Dorsey stepped down. It remains unclear exactly how long Musk intends to stay in position, though CNBC reports it will be “for a few months.”
Last week Reuters reported that Musk had a new CEO lined up and that he “does not have confidence” in the company’s current management.
CNBC also reports that Musk has secured $7.14 billion in equity financing from other investors. “Commitments range from $1 billion from Oracle co-founder Larry Ellison to $5 million from Honeycomb Asset Management, which invested in SpaceX.” CNBC’s David Faber indicated that Twitter co-founder and former CEO Jack Dorsey may also back Musk’s takeover.
Elon Musk secured another $7B from friends and investors to buy Twitter.
Our @davidfaber and @jimcramer dig through the list of names in today's released SEC filing.@CNBC $TWTR pic.twitter.com/juO9ytUtZp
— Squawk on the Street (@SquawkStreet) May 5, 2022
Musk’s $44 billion company buyout is currently under review by the Federal Trade Commission (FTC), a move some conservatives believe could potentially be rooted in Musk’s openly free speech aim for the platform. The news was first reported by Bloomberg, which said that the FTC will decide in 30 days whether or not it will conduct an antitrust probe into the purchase. Experts doubt the agency will find any evidence that Musk is in violation of antitrust law.
Meanwhile, this week the Federal Communications Commission (FCC) Commissioner Nathan Simington rejected calls to stop Musk’s takeover. Rather, Simington praised Musk for his plan to end Twitter censorship.
“The FCC cannot, and should not, block this sale. We should instead applaud Mr. Musk for doing something about a serious problem that the government has so far failed to address,” Simington said in a statement on Monday.