Today’s society is completely revolved around social media, it gives many people a platform to share information and receive feedback. Elon Musk, a billionaire who always seems to be all over social media, has bought a 9.2% stake in Twitter making him the largest shareholder of the platform. Elon is always doing new things, innovating the world as we know it. Being a founder of Tesla and SpaceX, he has truly made his place in history. However, there is nothing Elon does that goes without question, and many are wondering why he has taken a major role on Twitter. 

Elon Musk’s stake in Twitter is worth about $2.9 billion, and the company’s stock price has increased as much as 27% in response to the event, according to Bloomberg. 

Elon is an avid user of the platform and with that always comes disagreements with some of its functionalities. According to Space.com,  “On March 25, Musk posted a Twitter poll asking his followers if they believe the platform ‘rigorously adheres’ to the principle of free speech. ‘The consequences of this poll will be important. Please vote carefully,’ he added in another tweet that day.” They also noted that more than two million people participated in the poll. So, it can be assumed that Elon bought the stake in hope of influencing the company

More recently, ABC News said, “Elon Musk’s huge Twitter investment took a new twist Tuesday with the filing of a lawsuit alleging that the colorful billionaire illegally delayed disclosing his stake in the social media company so he could buy more shares at lower prices.” So, what exactly does this mean? ABC News continues in stating that the lawsuit reveals that on March 14, Elon had reached a 5% stake in the company which requires him to publicly announce this investment by March 24 conforming to U.S. securities law. Elon did not make this announcement until April 4 which “hurt less wealthy investors who sold shares in the San Francisco company in the nearly two weeks before Musk acknowledged holding a major stake,” the lawsuit alleges.

The lawsuit is currently attempting to be validated as a class action. The action represents all Twitter shareholders who sold shares between the dates of March 24 and April 4. However, this is a process that could take a year or more, ABC News concludes.