- Last week, it was reported that conservative activist investor Elliott Management had purchased over $1 billion in Twitter shares, or about 4% of the company.
- Now, Elliott Management wants to replace Twitter’s co-founder, Jack Dorsey, as CEO.
- This is largely viewed as an attempt to boost Twitter’s stock, which has been underperforming since Dorsey reclaimed his CEO position in 2015.
- According to Fox News, a Dorsey ousting by Elliott Management could “raise the prospect that some of the changes to Twitter could make the platform a friendlier place for pro-Trump users.”
Hedge Fund Plans to Push Dorsey Out of Twitter
Twitter employees took to the platform Monday night in support of CEO Jack Dorsey after it was reported that an activist investment fund was trying to unseat him.
Last week, the fund known as Elliott Management announced it had bought roughly $1 billion in Twitter stock. According to Business Insider, that’s nearly 5% of the company and also enough to allow it to pressure Dorsey out of his CEO role.
Elliot Management wants to oust Dorsey for a number of reasons, but perhaps the most significant reason is that Twitter is underperforming. Dorsey previously served as CEO of Twitter until being fired in 2008. He then returned in 2015. Since then, Twitter’s shares have fallen by 6.2%. Facebook, by contrast, has gained more than 121% in that same timeframe.
In November, Dorsey also announced that he’s preparing to move to Africa for 3-6 months this year.
That’s on top of Dorsey already splitting his time between Twitter and Square, Inc., where Dorsey is also CEO.
Elliott Management’s main argument here will be that a full-time CEO would be able to devote more time to the company to help raise its stock value and grow the company.
This, however, isn’t the first time someone has announced a plan to oust Dorsey. In fact, such a move seemed bound to happen because unlike Facebook CEO Mark Zuckerberg and Snap Inc. CEO Evan Spiegel, Dorsey does not have voting control of Twitter.
In December, New York University marketing professor Scott Galloway penned a letter calling for Dorsey’s removal.
“As of 12/6 I am the direct and beneficial owner of approximately 334,000 shares in Twitter,” Galloway said. “To be clear, my primary objective is the replacement of CEO Jack Dorsey.”
“Weak governance, a part-time CEO, relocation to Africa, damage to the commonwealth, and poor returns,” he added. “Stakeholders deserve a board and CEO that command the opportunity Twitter occupies.”
Could A Dorsey Oust Make Twitter More “Trump Friendly?”
The reasons why Elliott Management is trying to push Dorsey may not stop there.
The hedge fund is owned by Paul Singer, a conservative billionaire mega-donor. In 2016, Singer donated $24 million to Republican and right-leaning groups.
It is possible, as Fox News points out, that Elliot Management’s increased presence within Twitter could, at least in part, ease conservative’s concerns that Twitter has a left-leaning bias.
Elliott Management’s stake “[raises] the prospect that some of the changes to Twitter could make the platform a friendlier place for pro-Trump users. ”
Last year, California GOP Representative Devin Nunes filed a $250 million lawsuit against Twitter and several users. In that lawsuit, he accused the platform of “shadow-banning conservatives” and hiding their posts.
#WeBackJack Trends on Twitter
Following all of this, many Twitter employees supporting Dorsey in his role as CEO posted stories of their interactions with Dorsey using the hashtag #WeBackJack. Later Monday night, that tag began to trend.
“I’ve worked [for] many major corporations,” one user said. “Never did the CEO take 3 minutes to talk with me 1:1. Jack did (more than 3 mins might I add) & he didn’t treat me like someone below him. Ppl speak highly of him in rooms he’s not in. He’s not pretentious or egocentric. So yea #WeBackJack”
Telsa CEO Elon Musk also offered his support for Dorsey on Twitter Monday night, saying Dorsey “has a good [heart].”
Elliott Management Nominates Four Directors
While Elliott Management has not yet ousted Dorsey, it has nominated four people to Twitter’s board of directors.
Notably, there’s only going to be three seats available at this year’s annual meeting, but Elliott Management reportedly wants to ensure that it nominates enough people to fill all three seats and any vacancies that may unexpectedly arise.
Elliot Management’s move to remove Dorsey comes in the face of several major events including the worsening situation with the coronavirus, U.S. presidential elections, and the upcoming Olympic Games in Tokyo.
Those events will likely attract more users to the site and could, in turn, drive more advertisers, thus increasing the company’s stock value.
Twitter, however, has fallen behind other social media platforms despite its widespread use. Reportedly, it has decided to focus on its core services even though other platforms have added features such as filters and stories.
It is unknown if a Dorsey ousting could change that policy as Twitter’s board of directors tries to increase its stock value.
See what others are saying: (Bloomberg) (Business Insider) (Fox News)
Schools Across the U.S. Cancel Classes Friday Over Unverified TikTok Threat
Officials in multiple states said they haven’t found any credible threats but are taking additional precautions out of an abundance of safety.
Schools in no fewer than 10 states either canceled classes or increased their police presence on Friday after a series of TikToks warned of imminent shooting and bombs threats.
Despite that, officials said they found little evidence to suggest the threats are credible. It’s possible no real threat was actually ever made as it’s unclear if the supposed threats originated on TikTok, another social media platform, or elsewhere.
“We handle even rumored threats with utmost seriousness, which is why we’re working with law enforcement to look into warnings about potential violence at schools even though we have not found evidence of such threats originating or spreading via TikTok,” TikTok’s Communications team tweeted Thursday afternoon.
Still, given the uptick of school shootings in the U.S. in recent years, many school districts across the country decided to respond to the rumors. According to The Verge, some districts in California, Minnesota, Missouri, and Texas shut down Friday.
“Based on law enforcement interviews, Little Falls Community Schools was specifically identified in a TikTok post related to this threat,” one school district in Minnesota said in a letter Thursday. “In conversations with local law enforcement, the origins of this threat remain unknown. Therefore, school throughout the district is canceled tomorrow, Friday, December 17.”
In Gilroy, California, one high school that closed its doors Friday said it would reschedule final exams that were expected to take place the same day to January.
According to the Associated Press, several other districts in Arizona, Connecticut, Illinois, Montana, New York, and Pennsylvania stationed more police officers at their schools Friday.
Viral Misinformation or Legitimate Warnings?
As The Verge notes, “The reports of threats on TikTok may be self-perpetuating.”
For example, many of the videos online may have been created in response to initial warnings as more people hopped onto the trend. Amid school cancellations, videos have continued to sprout up — many awash with both rumors and factual information.
“I’m scared off my ass, what do I do???” one TikTok user said in a now-deleted video, according to People.
“The post is vague and not directed at a specific school, and is circulating around school districts across the country,” Chicago Public Schools said in a letter, though it did not identify any specific post. “Please do not re-share any suspicious or concerning posts on social media.”
According to Dr. Amy Klinger, the director of programs for the nonprofit Educator’s School Safety Network, “This is not 2021 phenomenon.”
Instead, she told The Today Show that her network has been tracking school shooting threats since 2013, and she noted that in recent years, they’ve become more prominent on social media.
“It’s not just somebody in a classroom of 15 people hearing someone make a threat,” she said. “It’s 15,000 people on social media, because it gets passed around and it becomes larger and larger and larger.”
Jake Paul Says He “Can’t Get Cancelled” as a Boxer
The controversial YouTuber opened up about what it has been like to go from online fame to professional boxing.
The New Yorker Profiles Jake Paul
YouTuber and boxer Jake Paul talked about his career switch, reputation, and cancel culture in a profile published Monday in The New Yorker.
While Paul rose to fame as the Internet’s troublemaker, he now spends most of his time in the ring. He told the outlet that one difference between YouTube and boxing is that his often controversial reputation lends better to his new career.
“One thing that is great about being a fighter is, like, you can’t get cancelled,” Paul said. The profile noted that the sport often rewards and even encourages some degree of bad behavior.
“I’m not a saint,” Paul later continued. “I’m also not a bad guy, but I can very easily play the role.”
Paul also said the other difference between his time online and his time in boxing is the level of work. While he says he trains hard, he confessed that there was something more challenging about making regular YouTube content.
“Being an influencer was almost harder than being a boxer,” he told The New Yorker. “You wake up in the morning and you’re, like, Damn, I have to create fifteen minutes of amazing content, and I have twelve hours of sunlight.”
Jake Paul Vs. Tommy Fury
The New Yorker profile came just after it was announced over the weekend Paul will be fighting boxer Tommy Fury in an 8-round cruiserweight fight on Showtime in December.
“It’s time to kiss ur last name and ur family’s boxing legacy goodbye,” Paul tweeted. “DEC 18th I’m changing this wankers name to Tommy Fumbles and celebrating with Tom Brady.”
Both Paul and Fury are undefeated, according to ESPN. Like Paul, Fury has found fame outside of the sport. He has become a reality TV star in the U.K. after appearing on the hit show “Love Island.”
See what others are saying: (The New Yorker) (Dexerto) (ESPN)
Hackers Hit Twitch Again, This Time Replacing Backgrounds With Image of Jeff Bezos
The hack appears to be a form of trolling, though it’s possible that the infiltrators were able to uncover a security flaw while reviewing Twitch’s newly-leaked source code.
Hackers targeted Twitch for a second time this week, but rather than leaking sensitive information, the infiltrators chose to deface the platform on Friday by swapping multiple background images with a photo of former Amazon CEO Jeff Bezos.
According to those who saw the replaced images firsthand, the hack appears to have mostly — and possibly only — affected game directory headers. Though the incident appears to be nothing more than a surface-level prank, as Amazon owns Twitch, it could potentially signal greater security flaws.
For example, it’s possible the hackers could have used leaked internal security data from earlier this week to discover a network vulnerability and sneak into the platform.
The latest jab at the platforms came after Twitch assured its users it has seen “no indication” that their login credentials were stolen during the first hack. Still, concerns have remained regarding the potential for others to now spot cracks in Twitch’s security systems.
It’s also possible the Bezos hack resulted from what’s known as “cache poisoning,” which, in this case, would refer to a more limited form of hacking that allowed the infiltrators to manipulate similar images all at once. If true, the hackers likely would not have been able to access Twitch’s back end.
The photo changes only lasted several hours before being returned to their previous conditions.
First Twitch Hack
Despite suspicions and concerns, it’s unclear whether the Bezos hack is related to the major leak of Twitch’s internal data that was posted to 4chan on Wednesday.
That leak exposed Twitch’s full source code — including its security tools — as well as data on how much Twitch has individually paid every single streamer on the platform since August 2019.
It also revealed Amazon’s at least partially developed plans for a cloud-based gaming library, codenamed Vapor, which would directly compete with the massively popular library known as Steam.
Even though Twitch has said its login credentials appear to be secure, it announced Thursday that it has reset all stream keys “out of an abundance of caution.” Users are still being urged to change their passwords and update or implement two-factor authentication if they haven’t already.