Musk accuses Twitter of withholding data, says may withdraw bid

(FILES) In this file photo Elon Musk, CEO of Tesla and SpaceX, poses on the red carpet as he arrives for the 43rd "Goldenes Lenkrad" (Golden Steering Wheel) awards on November 12, 2019 in Berlin. - Tesla founder Elon Musk on July 2, 2020 mocked securities regulators and short-sellers in series of tweets as the tech entrepreneur celebrated his firm's rise as the world's most valuable carmaker. The taunts came as shares in the electric carmaker revved on the news it produced more than 82,000 vehicles and delivered approximately 90,650 in the recently ended quarter despite production being disrupted due to the coronavirus epidemic. (Photo by Tobias SCHWARZ / AFP)

(FILES) In this file photo Elon Musk, CEO of Tesla and SpaceX (Photo by Tobias SCHWARZ / AFP)

Elon Musk threatened Monday to withdraw his bid to buy Twitter, accusing it of failing to provide data on fake accounts, in the latest twist in the Tesla billionaire’s push to acquire the social network.

Twitter has committed “a clear material breach” of its “obligations under the merger agreement and Mr. Musk reserves … his right not to consummate the transaction,” according to a document filed with securities regulators.

The filing marks an escalation of Musk’s prior statements that have highlighted fake accounts as a threat to his proposed $44 billion deal to take over Twitter.

Musk has said that the real number of bots may be four times higher than Twitter estimates.

Bots can be used on social media to spread false news or create a distorted impression of how widely information is being consumed and shared.

Twitter chief executive Parag Agrawal has said that fewer than five percent of accounts active on any given day at Twitter are bots, but that analysis cannot be replicated externally due to the need to keep user data private.

Musk has been dismissive of Twitter’s responses and reiterated that stance in Monday’s filing.

To execute the deal, Musk “must have a complete and accurate understanding of the very core of Twitter’s business model — its active user base,” said the filing.

“Mr. Musk believes Twitter is transparently refusing to comply with its obligations under the merger agreement, which is causing further suspicion that the company is withholding the requested data due to concern for what Mr. Musk’s own analysis of that data will uncover.”

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