Twitter now plans to comply with Elon Musk’s demand for user data that he says is needed to determine whether the company’s spam estimates are accurate, The Washington Post reported Wednesday.
“After a weeks-long impasse, Twitter’s board plans to comply with Elon Musk’s demands for internal data by offering access to its full ‘firehose,’ the massive stream of data comprising more than 500 million tweets posted each day, according to a person familiar with the company’s thinking, who spoke on the condition of anonymity to describe the state of negotiations,” the Post wrote.
Twitter declined to comment on the Post Report when Ars reached out to it today, but pointed to Monday’s statement that “Twitter has and continues to cooperate with Mr. Musk in order to complete the transaction according to the terms of the merger agreement. “
It is unclear if Twitter must give all user data to Musk. Two days ago, Musk sent a letter claiming that Twitter had violated the merger agreement. The letter claimed that the company refused to give the spam estimates behind it.
Providing data could help Twitter complete sale
Twitter giving Musk the requested data could be bad for him if his real goal is getting out of the $44 billion purchase deal. This would be a significant blow to Musk’s claim of Twitter violating the merger agreement. Twitter appears confident in its estimation.
The Post stated that
Twitter could give the data to Musk “as quickly as this week”. The trove contains not only real-time records of tweets, but also the devices from which they are sent, and information about the accounts who tweet them. Access to it is currently paid for by around two dozen companies. “
Musk’s offer to buy Twitter waived “business due diligence,” but he says Twitter must provide the requested data because of a clause in the merger agreement that says he is entitled to information “for any reasonable business purpose related to the consummation of the transaction. “
Musk claims that he has the “right to terminate this merger agreement” if Twitter does not comply with his request. Musk also stated in the letter that he needs to have a “complete understanding” of Twitter’s core business model, which is its active user base, to be able to secure financing and prepare for ownership transition.
“Mr. Musk believes that Twitter is transparently refusing its obligations under the merger deal, which is leading to further suspicion that the company withholds the requested data out of concern for what Mr. Musk will uncover,” Musk’s legal team stated in a letter.