> Musk's actions generally speaking make a lot of financial sense, it's just that he bought a company that wasn't founded on financial sense...

He bought it for ~40% more than it was valued and then scared away a lot of advertisers. That does not make financial sense, and is in large part the root of Twitter/his money problems.

His actions make zero financial sense. He bought it 30-40% overvalued, has tanked its income, destroyed its brand reputation, absolutely set fire to advertiser trust & safety.

Most estimates put it at ~25% of the value he paid 7 months ago.

All the debt you mention? He saddled them with that. That was t there until he came along. Another failure.

About the only positive financial thing you can say he did is cut payroll costs. Unfortunately he did that at the expense of site stability & reliability.

It will be studied in MBA programs as an example of what NOT to do

Buying Twitter at the price he bought it at made no sense once the market turned. It would have made financial sense to structure the deal in a way that it was easy for him to get out of, but he didn’t. Twitter has also now been saddled with additional debt with interest that needs to be paid on a regular basis since it was a leveraged buyout. I’ve been thinking about the deal since it happened and it certainly doesn’t seem to make financial sense to me.

Where do you think the debt came from?!

The new Twitter Blue subscription revenue is a tiny drop in the bucket compared to the advertising loss and the debt he saddled the company with.

The economy is in great shape despite how many people try to cope a recession into existence. ("Inflation" is a bad thing that can only happen in a good economy.)

He bought the company because he was mad they banned a hate speech account he thought was funny, unbanned them and brought all the other racists back to juice the numbers and so he could reply-guy them, and instantly lost all the advertisers because they don't want to be associated with statue avatar Nazis. That was not good business sense.

I agree with you in part: Twitter needed its costs slashed even before the acquisition, and the post-acquisition debt load made it into a crisis.

But on top of cutting costs, Musk has also made terrible product and communication decisions that killed significant amounts of revenue and audience.