Posts Tagged: takeover

Court orders Elon Musk to testify in the SEC’s investigation of his Twitter takeover

In a followup to a tentative ruling made in December, a federal judge has ordered Elon Musk to comply with the U.S. Securities and Exchange Commission’s (SEC) subpoena and testify again in its probe of his Twitter takeover, Reuters reports. Per the order, which was filed Saturday night in a California court, Musk and the SEC now have a week to work out a time and place for his appearance or it will be decided for them. The SEC has been investigating Musk’s purchase of Twitter, now X, since 2022 over concerns about his lateness in disclosing his stake in Twitter.

The order comes after Musk failed to appear for a testimony in September and later refused to attend a rescheduled interview, prompting the SEC to sue. US Magistrate Judge Laurel Beeler sided with the SEC after Musk tried to challenge its subpoena, which he claims is seeking irrelevant information and is harassment, as he’s already been interviewed twice. But, the SEC says it has obtained new documents in relation to the probe and has further questions for the X owner. Musk also argued that the subpoena exceeds the SEC’s authority because it was issued by a staff member appointed by the SEC’s Director of Enforcement. Beeler struck these arguments down, ruling that the subpoena is valid. 

This article originally appeared on Engadget at https://www.engadget.com/court-orders-elon-musk-to-testify-in-the-secs-investigation-of-his-twitter-takeover-193303461.html?src=rss
Engadget is a web magazine with obsessive daily coverage of everything new in gadgets and consumer electronics

FTC appeals ruling that would have let Microsoft’s Activision takeover move forward

The Federal Trade Commission isn't giving up on its attempt to halt Microsoft's pending $ 68.7 billion purchase of Activision Blizzard. The agency said in a filing it's appealing Judge Jacqueline Scott Corley's denial of its request for a preliminary injunction to temporarily stop the deal from going through.

The FTC has sued to prevent the merger from happening over antitrust concerns. An administrative trial is set to start in August, but the companies have a merger deadline of July 18th. The agency was concerned Microsoft and Activision would close their deal by then despite a UK regulator blocking the deal in that country.

Bloomberg first reported that the agency was considering an appeal against Corley's decision. The FTC told Engadget after Tuesday's ruling that it would announce its "next step to continue our fight to preserve competition and protect consumers" in the following days.

Corley ruled that, unless the FTC obtains an emergency stay from the Ninth Circuit Court of Appeals by 11:59PM PT on July 14th, a temporary restraining order that's currently preventing Microsoft and Activision from closing the deal will be dissolved. The restraining order was put in place until Corley made a decision on the preliminary injunction. 

Meanwhile, after Corley's ruling, Microsoft, Activision Blizzard and the UK's Competition and Markets Authority said they agreed to pause their legal battle and see if they could reach a compromise. The CMA later clarified that although "merging parties don’t have the opportunity to put forward new remedies once a final report has been issued, they can choose to restructure a deal." It added that doing so could lead to a fresh merger investigation.

"The District Court's ruling makes crystal clear that this acquisition is good for both competition and consumers," Microsoft president and vice-chair Brad Smith said in a statement posted to Twitter. "We're disappointed that the FTC is continuing to pursue what has become a demonstrably weak case, and we will oppose further efforts to delay the ability to move forward."

"The facts haven’t changed. We’re confident the US will remain among the 39 countries where the merger can close," Activision Blizzard said in a statement to Engadget. "We look forward to reinforcing the strength of our case in court, again.”

Update 7/12 9:10PM ET: Added Activision's statement.

Update 7/12 10:19PM ET: Added Brad Smith's statement.

This article originally appeared on Engadget at https://www.engadget.com/ftc-appeals-ruling-that-would-have-let-microsofts-activision-takeover-move-forward-231729137.html?src=rss
Engadget is a web magazine with obsessive daily coverage of everything new in gadgets and consumer electronics

Twitter was targeted by a coordinated trolling campaign following Musk takeover

Following Elon Musk’s takeover, Twitter was the target of a coordinated trolling campaign, according to Yoel Roth, the company’s head of safety and security. In a thread spotted by The Guardian, Roth said late Saturday that Twitter was working to stop an “organized effort” by trolls to make people think the company had weakened its content guidelines. “Bottom line up front: Twitter’s policies haven’t changed. Hateful conduct has no place here,” Roth said, adding the company had seen a “small number of accounts” post “a ton” of tweets that included derogatory language.

In one instance, Roth says the company saw just 300 accounts post more than 50,000 tweets using the same slur. “We’ve taken action to ban the users involved in this trolling campaign – and are going to continue working to address this in the days to come to make Twitter safe and welcoming for everyone,” he wrote.

The news of a coordinated trolling campaign comes after a handful of research groups found evidence of bad actors trying to test the limits of Twitter. On Friday, the Network Contagion Research Institute tracked a 500 percent increase in usage of the n-word. The nonprofit linked the increase to posts on sites like 4chan, where users were encouraging each other to post hateful content.

On Friday, Musk said Twitter would not make any major moderation decisions until the company had the chance to form a council with “widely diverse viewpoints.” Before taking control of the company, Musk had said he wanted to do away with permanent bans, noting he would “err on the side of, if in doubt, let the speech exist.” More recently, he floated the idea of allowing users to split off into different sections of the platform where they could add content ratings to their tweets.

Engadget is a web magazine with obsessive daily coverage of everything new in gadgets and consumer electronics

Elon Musk’s Twitter takeover has already emboldened the trolls

It’s been less than a day since Elon Musk began his takeover of Twitter, but his move to the top of the company is already impacting the platform. Following the news that the deal was completed, and that he had begun purging some of the company’s executive staff, some groups opted to test Twitter’s moderation rules.

The Washington Postalso reported that “racial slurs were posted rampantly overnight,” in the hours immediately after Musk’s takeover. The Network Contagion Research Institute (NCRI), a nonprofit organization that studies disinformation on social platforms, said Friday morning that it had observed a sharp uptick in the n-word on Twitter.

“Evidence suggests that bad actors are trying to test the limits on @Twitter,” the group said. “Several posts on 4chan encourage users to amplify derogatory slurs.”

A Twitter spokesperson didn’t respond to a request for comment. As both The Post and NCRI point out, much of this seems to be organized on platforms like 4Chan and TheDonald, where users are encouraging each other to spread hate.

For now, it’s unclear how widespread these efforts are. As with past harassment campaigns, a small group of trolls can have an outsize impact, particularly at a moment of upheaval for the company. Musk, who according to Bloomberg has temporarily assumed CEO duties at the company, said Friday that he would not be reinstating any banned accounts or making “major” changes to the company’s content policies until he could for a “content moderation council with widely diverse viewpoints.”

He also responded to a Twitter account called Catturd, which had complained about shadowbans and losing followers, that he would be “digging in more.” Musk has previously said that he wants to do away with permanent bans on the platform and that he would “err on the side of, if in doubt, let the speech exist.”

Notably, the uptick in racist slurs comes one day after Musk appealed to Twitter’s advertisers, saying that he didn’t want to turn the platform into a “free-for-all hellscape where anything can be said with no consequences.”

But the increase in hate speech has further fueled concerns that Twitter’s years-long effort to clean up its platforms could be reversed under Musk. Already, he has fired the company’s top policy executive, Vijaya Gadde, who played a central role in shaping the company’s content rules. That’s concerning, says Paul Barrett, deputy director of NYU’s Stern Center for Business and Human Rights.

“The danger here is that in the name of ‘free speech,’ Musk will turn back the clock and make Twitter into a more potent engine of hatred, divisiveness, and misinformation about elections, public health policy, and international affairs,” Barrett said in a statement. “This is not going to be pretty.”

Engadget is a web magazine with obsessive daily coverage of everything new in gadgets and consumer electronics

After Musk’s Twitter takeover, an open-source alternative is ‘exploding’

We may not yet know exactly what Elon Musk’s takeover of Twitter means for the platform, but one Twitter alternative is already booming as a result of the news. Mastodon, the open-source social media service which bills itself as the “largest decentralized social network on the internet,” has been "exploding" since Musk's acquisition, according to its founder.

News of Twitter's buyout has rattled Twitter employees and users, as Musk has indicated he plans to take a much more hands-off approach to content moderation. As is often the case when Twitter makes a controversial change, some users have threatened to leave the platform, while critics have pushed #RIPTWITTER to trend.

In this case, at least some disgruntled users are apparently turning to Mastodon as a potential alternative. Hours after the Twitter acquisition was announced, Mastodon said it saw “an influx of approx. 41,287 users.” Of those, about 30,000 were new users, Mastodon founder Eugen Rochko wrote in a blog post.

“Funnily enough one of the reasons I started looking into the decentralized social media space in 2016, which ultimately led me to go on to create Mastodon, were rumours that Twitter, the platform I’d been a daily user of for years at that point, might get sold to another controversial billionaire,” he wrote. “Among, of course, other reasons such as all the terrible product decisions Twitter had been making at that time. And now, it has finally come to pass, and for the same reasons masses of people are coming to Mastodon.”

Mastodon’s official iOS and Android apps are also seeing an uptick in users, according to data provided by analytics firm Sensor Tower. The apps have been downloaded roughly 5,000 times “or nearly 10% of its lifetime total” downloads since Monday, according to the firm. The app is currently ranked No. 32 on the App Store charts for social media apps.

It’s not the first time Mastodon has benefited from issues at Twitter. The company was briefly popular in 2017, following outrage over Twitter’s decision to remove user handles from the character limit for @-replies (back when Twitter changed its product so infrequently even mundane changes were fodder for mass outrage). Mastodon saw another uptick in 2019, when users in India were angry over moderation policies. 

While Mastodon has been in the spotlight as a potentially viable Twitter alternative in the past, it has yet to reach the mainstream. But its current popularity comes at a moment when Twitter is also exploring how it could become an open-sourced protocol — much like Mastodon.

Unlike Twitter, Mastodon is not a single, centralized service. Though the interface looks similar to Twitter — it has a 500-character limit but otherwise will be mostly recognizable to Twitter users — it runs on an open-source protocol. Groups of users are free to create and maintain their own “instances” with their own rules around membership, moderation and other key policies. Users are also able to take their followers with them between instances.

Mastodon operates its own instances, mastodon.social and mastodon.online, but those are apparently overloaded, according to Rochko, who suggests that new users sign up via the official apps and join other communities on the service. And, because it’s open source, Mastodon makes its code available on GitHub, an idea Musk has also endorsed with regards to Twitter’s algorithms.

But all that also comes with extra complexity for new users who may not easily understand Mastodon’s unique structure or how it works. But those who stick around long enough may see some significant new features. Rochko said that end-to-end encrypted messaging is in the works, as well as “an exciting groups functionality.”

Engadget is a web magazine with obsessive daily coverage of everything new in gadgets and consumer electronics

Jack Dorsey on Musk’s Twitter takeover: ‘Elon is the singular solution I trust’

Twitter co-founder and Block Head Jack Dorsey has made it clear that Elon Musk has his support as the new owner of Twitter. In his first public comments since Twitter and Musk announced the $ 44 billion deal, Dorsey said that “Elon is the singular solution I trust.”

Dorsey wrote that Musk and current CEO Parag Agrawal were “getting the company out of an impossible situation,” and that the company was on “the right path.” Dorsey also alluded to his own regrets regarding how Twitter is structured.

“The idea and service is all that matters to me, and I will do whatever it takes to protect both,” he wrote. “Twitter as a company has always been my sole issue and my biggest regret. It has been owned by Wall Street and the ad model. Taking it back from Wall Street is the correct first step.

“In principle, I don’t believe anyone should own or run Twitter. It wants to be a public good at a protocol level, not a company. Solving for the problem of it being a company however, Elon is the singular solution I trust. I trust his mission to extend the light of consciousness.”

Though not the first time Dorsey has endorsed Musk’s involvement with the company, his latest comments come at a moment of uncertainty for the company when many employees are anxious about the direction of Twitter.

Engadget is a web magazine with obsessive daily coverage of everything new in gadgets and consumer electronics

Elon Musk says he has the financial backing for his proposed Twitter takeover

Elon Musk now has access to the funds he'd need to buy Twitter. According to an SEC filing, Musk has received "commitment letters" that would supply about $ 46.5 billion to buy all of Twitter's outstanding common stock and take control. The Tesla CEO is "exploring" this tender offer following a lack of response from Twitter, the filing reads.

We've asked Twitter for comment. While the company hasn't directly addressed Musk's offer, initially pegged at $ 43 billion, it recently approved a temporary "poison pill" measure intended to discourage hostile takeovers. The plan would let some shareholders buy more stock if anyone buys more than 15 percent of outstanding stock without the board of directors' approval, diluting the value of Musk's stake. He's already the largest individual shareholder with 9.2 percent ownership.

Musk made the offer claiming that it was meant to protect free speech, and has suggested he could unlock Twitter's potential with features like an edit button (which Twitter was already working on) and an open source algorithm. However, it also comes as the executive fights the SEC over alleged finance rule violations that frequently relate to his tweets. The entrepreneur has multiple strong incentives to purchase Twitter, and the financial backing illustrates just how serious he is.

Engadget is a web magazine with obsessive daily coverage of everything new in gadgets and consumer electronics

Qualcomm rejects Broadcom’s revised takeover bid

Broadcom will have to try again in its bid to take over Qualcomm. The Snapdragon chip-maker has rejected a revised proposal to buy all of its outstanding shares, stating that it "materially undervalues Qualcomm and falls well short of the firm regula…
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Broadcom steps up pressure in fight to takeover Qualcomm

In mid-November, chipmaker Qualcomm announced they were rejecting a $ 130 Billion takeover bid from Broadcom. At the time, Broadcom indicated they were not planning to just walk away from the takeover attempt leading many to expect some aggressive moves may surface. We now see the fruits of that as Broadcom is moving to appeal directly […]

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Qualcomm plans to reject Broadcom’s takeover bid

Broadcom might have to forget about taking over Qualcomm without a fight — Reuters sources claim that Qualcomm's board is planning to reject the unsolicited buyout bid. Reportedly, Broadcom's offer of $ 70 per share, despite setting a record, "unde…
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SoundCloud takeover by Spotify is dead in the water

Spotify was fairly recently aiming to purchase SoundCloud, but it looks like those talks have fallen through and Spotify has backed out of the deal. There aren’t any concrete details about what derailed the plans, but it might have something to do with Spotify’s plans to go public next year. That’s also mostly speculation at […]

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Vine gets a lifeline with report of takeover offers from multiple companies

Vine is up for grabs according to a new report that claims its parent company Twitter is considering multiple bids for the platform. A takeover could save the video-looping service from the scrap heap, but at what cost?

The post Vine gets a lifeline with report of takeover offers from multiple companies appeared first on Digital Trends.

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