A trove of messages sent by Elon Musk has emerged leading to an upcoming trial between Twitter Inc TWTR and Tesla Inc TSLA CEO.
What Happened: Twitter founder Jack Dorsey told Musk in a message that he quit being CEO of the social media platform because a new platform is needed. It can't be a company. He believes that the protocol must be an open source protocol, funded by a foundation that doesn't own it, and only advances it, he said.
If it has a centralized entity behind it, it will be attacked, said Dorsey. This isn't complicated work, it just has to be done right so it's resilient to what has happened to Twitter. In May, Dorsey told Musk that he would quit the Twitter board and then work and fix our mistakes, and that making Twitter a company was the original sin. Musk said I d like to help if I am able to. How do I buy Tesla TSLA Stock?
Why It Matters: Dorsey told Musk that when activist investors came in, he tried his hardest to get Musk on Twitter's board, but the board said no. The ex-Twitter CEO told the world's richest person that Twitter's board was super risk averse and saw adding Musk as more risk. Dorsey said he thought this was completely stupid and backwards. He told Musk he only had one vote and 3% of the company and no dual-class shares - it was a hard set up. Musk and Dorsey agreed that doing something decentralized was the best option.
Dorsey posted a song by Radiohead titled Everything In Its Right Place after the news of Musk's Twitter takeover became public in April.
Dorsey was deposed in a Twitter lawsuit after Musk said he was not going ahead with purchasing the platform.
The price Action: Twitter shares fell 1.18% to $42.74 on Thursday, according to data from Benzinga Pro.
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