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Twitter shares halted: Musk going through with buy

Discussion in 'Too Hot for Swamp Gas' started by okeechobee, Oct 4, 2022.

  1. mdgator05

    mdgator05 Premium Member

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    No doubt on this. Amazon is another good example. But that is because there is an end game that is profitable with enough customers. Twitter isn't really growing at the pace of it's rivals. Younger people in the US largely avoid the platform in favor of TikTok and Instagram. And Meta's platforms have become the standard in most of the developing world.
     
  2. okeechobee

    okeechobee GC Hall of Fame

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    This sounds more like a narrative than what is actually taking place in reality with regard Twitter and Musk.
     
  3. okeechobee

    okeechobee GC Hall of Fame

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    There may even be ways that a guy who outperformed NASA would think of that we are not able to think of on the spot here.
     
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  4. enviroGator

    enviroGator GC Hall of Fame

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    It isn't just dropping ads. It is dropping targeted ads.

    Twitter should have the ability to target ads pretty tightly like I said just from the hastags used in a tweet. Add to it that they can easily have video ads that look like a tweet, and advertisers should be very interested.

    Anyway, it isn't rocket science and they just got bought by a guy who is a rocket scientist. I think he will be able to figure out a way to improve profitability if he wants to.
     
  5. orangeblue_coop

    orangeblue_coop GC Hall of Fame

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    Musk fanboys desperately trying to spin this into a W lol
     
  6. mdgator05

    mdgator05 Premium Member

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    It is actually quite complex. Twitter has to sell the space to advertisers. They have to do so with far less data about who follows who and their demographics, networks, and other topics than their competitors. And they need to do it in near real time, which is a big ask from both the Twitter folks and the advertisers.

    There is no competitive advantage to dropping ads on a smaller network, with less rich data, and with competitors that basically cover your entire user base. Basically, why would somebody pay Twitter when they could just pay an influencer to drop the ad for them, without a great set of targeting data (a hashtag is about as shallow as you can get on targeting data)?

    The people that ran Twitter were not dumb (the founder is now a billionaire from his other business). They just never could figure out that answer.
     
  7. enviroGator

    enviroGator GC Hall of Fame

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    Meh.... Google sells Adwords ads just based on a search term and does quite well. Google's Adsense ads use much more data on users to target ads on websites (like Gatorcountry).

    Set it up so your advertisers bid for placement for either hastags or categories of hashtags and let-er rip.
     
  8. mdgator05

    mdgator05 Premium Member

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    Twitter pretty much does this now (they use Twitter search data, tweet data, and follower data to target ads). It hasn't worked. Adwords works because they have great data, searches are relatively stable (unlike Twitter topics), it is still the primary source of information for consumers, and because they were early, which meant companies got used to the process of doing that sort of advertising.
     
    Last edited: Oct 5, 2022
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  9. PITBOSS

    PITBOSS GC Hall of Fame

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    more like laughing all the way to the bank. Stk up 20% last few days. Thanks Elon!
     
  10. tampagtr

    tampagtr VIP Member

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    More genius

     
  11. PerSeGator

    PerSeGator GC Hall of Fame

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    Without the buy-out, TWTR would likely be in the single digits. Maybe low teens. All the social media companies and online ad sellers have been getting hammered this year, and TWTR is financially one of the weakest of the bunch. Major shareholders and employees with stock-based comp really lucked out. They not only avoided the downturn, but are getting bought out for a big premium.
     
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  12. BLING

    BLING GC Hall of Fame

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    Odd comments to be sure. Just give authoritarian regimes whatever they want, that always tends to end well! Lotta of speculation on this thread as to his motivations being $$$$$.

    Guy does have a gigafactory in Shanghai China which generates a substantial share of Tesla production, I do not discount the idea he’s trying to curry some favor with the CCP. Some “free speech absolutist”, guess that puritan ideology doesn’t apply to the Tawainese people he’d sell into servitude.
     
  13. tampagtr

    tampagtr VIP Member

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    I agree with all you say but I think it’s simpler than that. I don’t think he’s just trying to defer to authoritarians where he does business as a cost of doing business. I think he’s an authoritarian himself.