So in this letter:
■ Swiggy purchases the Dineout restaurant booking platform
■ After reassigning the team, Tesla suspends plans for India
■ SoftBank shares are recovering after the company posted record losses
Musk files Twitter deal for fake accounts, shares plummet by 18%
Elon Musk has suspended his $ 44 billion contract for Twitter Friday over the percentage of spam and fake accounts the platform claims to have.
“The Twitter deal is temporarily suspended pending details to support the calculation that spam / fake accounts actually account for less than 5% of users,” Musk told his 92+ million Twitter followers.
The tweet included a link to a May 2 Reuters story claiming that Twitter had estimated that fake or spam accounts represented less than 5% of its monetizable daily active users during the first quarter.
What are you cooking? Susannah Streeter, an analyst at Hargreaves Lansdown, pointed out that the 5% metric has been available for some time and that Musk has already seen it. “So it could be part of the strategy to lower the price,” she said.
“It will be very frustrating for many in the company as several senior executives have already been laid off,” he added.
Twitter falls, Tesla goes up: Shares of Twitter fell 17.7% to $ 37.10 in pre-market trading. This is their lowest level since Musk revealed his stake in the company in early April. Subsequently he realized a “best and final” offer to make it private at $ 54.20 per share.
Meanwhile, Tesla shares, against whom Musk secured a $ 6.25 billion loan for the acquisition, they were up to about 5%.
Musk’s plans for Twitter: Since reaching the agreement to buy Twitter, Musk has repeatedly stated that one of his priorities would be to remove “spam bots” from the platform.
- He was also critical of Twitter’s moderation policy, saying he wants Twitter’s algorithm, which prioritizes tweets, to be made public.
- Earlier this week, he said would lift the Twitter ban on former US President Donald Trump when he buys the social media platform and who was against permanent bans on individual Twitter users.
- He also said he was against giving too much power on Twitter to the companies that advertise it.
Swiggy acquires Dineout restaurant booking platform
Swiggy Online Food Delivery App said it today has entered into a definitive agreement with Times Internet * to acquire the technology for restaurants and the restaurant platform outside Dineout.
Dineout was acquired by Times Internet in 2014.
Details: After the acquisition, Dineout will continue to function as a standalone app, Swiggy said in a statement. The acquisition is likely to be an all-stock deal and is expected to close in the next month, the sources told us.
Swiggy will double Dineout’s offerings, including restaurant table reservations and events. Dineout’s partner restaurants will have access to Swiggy’s vast customer base, allowing them to increase their reach. Arch-rival Zomato started out as a table booking platform and continues to run that business.
Quote: “Dineout is a much loved brand that enjoys the loyalty of both consumers and restaurants. Times Internet and the founding team should be credited for the transformative impact they have brought to the dining experience outside the home through their products, technology and a large selection of restaurant partners, “said Sriharsha Majety, co-founder and CEO of Swiggy. .
The development comes a month after Swiggy and Zomato endorsed the restaurant management platform UrbanPiper in a $ 24 million loan round led by Sequoia Capital India and Tiger Global. It was the first time that the two food delivery majors have invested together in a startup.
last month, Swiggy also led to an investment of $ 180 million in the Rapido bicycle and autotaxi aggregator, his first bet in the mobility sector and his largest investment in a startup.
Disclaimer: Times Internet runs ETtech.
ETtech Deal Digest
Electric scooter maker Ather Energy, digital payment company Razorpay, and e-commerce enablement company GoKwik were among the startups raising funds this week. Here’s a look at the best financing deals of the week.
After reassigning the team, Tesla suspends plans for India
Tesla has suspended plans to sell electric cars in Indiahe abandoned his search for showroom space and reassigned part of his national team after failing to secure lower import taxes, three sources told Reuters.
Called: On May 5, we reported that Tesla’s Indian team would be reassigned to Asia Pacific and other markets. the first indication that his plans here were on hold.
Sea of War: The decision covers more than a year’s deadlocked negotiations with government representatives as Tesla first tried to test demand by selling imported electric vehicles (EVs) from manufacturing centers in the United States and China, at lower rates.
But the Indian government is pushing Tesla to commit to local production before you lower the tariffswhich can go up to 100% on imported vehicles.
Deadline 1 February: Tesla had set a deadline for February 1, the day India unveils its budget and announces tax changes, to see if its lobbying led to an outcome, the sources told Reuters. When the government did not offer a concession, Tesla suspended its plan to import cars to India.
Ola Electric threatens to sue the customer: Meanwhile, Ola Electric threatened legal action against Guwahati resident Balwant Singhwho tweeted about his son Reetam Singh’s accident on March 26, blaming him for a malfunction of his Ola S1 Pro scooter.
The communication, sent by the law firm Lakshmikumaran & Sridharan on behalf of Ola Electric, was in response to a “takedown notice” sent by Singh on April 23, asking Ola Electric to delete a tweet sharing telemetry details. of the scooter only before and during the accident. Singh said the company violated his son’s privacy by publishing the data.
Tweet of the day
SoftBank shares are bouncing back after the company posted record losses
Shares of SoftBank shrugged off the record loss of $ 26 billion that the company’s Vision Fund posted Thursday. The stock gained 10% in the Friday morning trading session in Tokyo. Other tech stocks such as flea market operator Mercari and e-payments app Rakuten also rose.
The recovery comes the day after Softbank founder and CEO Masayoshi Son announced the company it would likely cut its investments in 2022 half or even a quarter of what was invested in 2021.
Defense is the new offense: During Thursday’s earnings call, the Japanese tech giant said it would follow a “defense” strategy for now, as tech stocks continue to plummet around the world. “When it rains, you open an umbrella,” Son said, pointing to the company’s $ 23 billion cash position and loan-to-value ratio of 20.4 percent.
Bitcoin resurges after the horror week for cryptocurrencies
Despite the problems of the TerraUSD stablecoin, which has sparked fear in the cryptocurrency market, Bitcoin rose above $ 30,000 on Friday.
According to data from CoinDesk, the world’s largest cryptocurrency traded at around $ 30,421 at 5:40 pm IST, up 8.79% in the past 24 hours, after plunging to levels not seen since December on Thursday. 2020.
Terror Earth Tether: The collapse of a controversial stablecoin known as terraUSD or UST, which is expected to be tied one-to-one with the US dollar, resulted in the latest cryptographic bloodbath, which has seen billions of dollars wiped out of the market. As a result, Luna, a UST-affiliated token, is now worth $ 0.
Luna was removed from Indian cryptocurrency exchanges after losing 100% of its value in just under seven days.
Tether, the world’s largest stablecoin, which its developers say is backed by actual dollar reserves, has also come under pressure. It fell as low as 95 cents on Thursday, according to data from CoinMarketCap, but returned to $ 1 on Friday.
Today’s ETtech Top 5 newsletter was edited by Zaheer Merchant in Mumbai, Ruchir Vyas in Ludhiana and Arun Padmanabhan in New Delhi. Graphics and illustrations by Rahul Awasthi.