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No One Wants To Buy Twitter (theverge.com)
At one point, it seemed that many were interested in purchasing the micro-blogging social platform (which now calls itself a news service) Twitter, but its fate is quickly drying up. Salesforce (which couldn't buy LinkedIn) showed the most interest in Twitter, but this week its CEO Marc Benioff said his company has "walked away" from making a bid to buy it. The Verge sums up the situation: If you're keeping track, that's now... pretty much everyone who's said they're not interested in buying Twitter. Neither Google nor Disney plan to bid on Twitter, despite reports saying both were interested. Recode says that Apple is likely also out of the picture. And Verizon immediately dismissed speculation that it was considering a bid. Facebook is also said to be uninterested, according to CNBC. And while Microsoft's name has been tossed around, no one seems to think the acquisition would make any sense for an increasingly enterprise-focused company.The situation is so bad that as soon as the news of Salesforce withdrawing its name from the bidding race broke, its stock quickly went up by 6 percent, while Twitter's stock registered a 6 percent drop.
Why does Twitter need to be bought by anyone? What's with this endless obsession about mergers and acquisitions and consolidation and stock market riches the west has?
Let Twitter do Twitter.
Why not?!
what is the use of a "micro-blogging social platform" or a "news service" that acts against free speech.
as a private company they are free to ban people for hurting others' feelings (btw nothing worse can happen in that platform), but must deal with consequences.
I tend to agree that the 'real' money, or rather the 'real' profit, is made by capitalising on tiny fluctuations in the share price over periods of less than a second. Tiny amounts of profit, times lots and lots of transactions, on a continuous basis = huge profits.
However, it doesn't add liquidity in any meaningful fashion, and it doesn't provide any benefit to the corporation whose shares are being traded or to a wider society. It is, purely and simply, economic parasitism.
The simple solution is a miniscule transaction tax on every share, either purchased or sold (your pick, my preference would be those sold, with the exception of the share offerings made by the company selling its shares for the first time - resales / reissues, after share buy backs would incur the tax).
With this system, since the purchaser doesn't face increased costs there's no practical reason for any reduction in available liquidity, and it effectively destroys the system that allows the parasites to exist, by adding proportionally significant costs to their existance, while adding, proportionally, no significant increase in cost to long term share investors.
The only remaining question in my mind would be whether to make the tax a flat, albeit very small, rate, which would affect the sales of lower value stocks slightly more than higher value ones (if only because of investor perception based primarily on lifetime percentage growth figures), or a variable rate tax based on the price of the shares in question, which, while removing this perceptual disparity, would slightly limit the effectiveness and removing all the parasites from the system.
I'd be happy to leave wiser minds than mine that decision though... if only governments (or even the exchanges themselves) had the courage to implement the system in the first place.