Jason Calacanis on CNBC Squawk Alley, 10/5/16: Twitter's likeliest buyer, Amazon "Prime Reading"

TL;DR

Twitter is considering bids from potential buyers, including Salesforce, as CEO Jack Dorsey fights to convince his board to give him more time to implement his video-focused strategy.

Transcript

and joining us from one market angel investor and inside calm CEO Jason Calacanis at New York Times columnist Farhad Manjoo joins us from Stanford good morning guys good to see you all let's start with twitter shares on the move this morning as you know the journal says the company is expected to feel bids as early as this week among the companies ... Read More

Key Insights

• 😑 Twitter is facing pressure to sell due to internal disagreements and potential buyers expressing interest.
• 🎹 The CEO's focus on video strategy is a key factor in the board's decision-making process.
• 😀 Potential buyers, such as Salesforce and Google, are considering the acquisition but face challenges in integrating Twitter's complicated product into their existing operations.
• 🖐️ The outcome of the NFL streaming deal and Twitter's third-quarter results will play a significant role in determining the company's value and potential bids.
• ⌛ Jack Dorsey's part-time role as CEO has been criticized, and there is a belief that a full-time CEO would be more effective.
• ⌛ Google's expertise in algorithms and real-time data makes it a potentially suitable buyer for Twitter.
• ❓ The growth of Amazon Prime and the satisfaction of its customers have contributed to Amazon's success.
• 👻 Amazon's focus on data and product quality has propelled its growth and allowed it to outperform competitors.
• 💗 Amazon Prime's customer base has grown significantly and is a major source of revenue for the company.

Questions & Answers

Q: Why is Twitter considering a sale?

Twitter is considering a sale due to pressure from potential buyers and internal disagreements about the company's future direction.

Q: Who are some potential buyers for Twitter?

Some potential buyers for Twitter include Salesforce, Google, Facebook, and Disney.

Q: What is the board of Twitter focusing on before deciding on a sale?

The board is focused on the company's third-quarter revenue and user numbers, as well as the performance of the NFL streaming deal.

Q: What are the potential risks involved in a failed sale process for Twitter?

According to Suntrust analyst Bob Peck, the potential risk of a failed sale process could negatively impact Twitter's underperforming fundamentals and result in a decrease in the company's value.

Q: How has Twitter's CEO, Jack Dorsey, been handling the company?

Jack Dorsey has been criticized for not being able to focus on the company enough and for the slow progress in moving the product forward. However, some believe that with more time and a full-time commitment, he could still convince the board and improve the company's performance.

Summary & Key Takeaways

• Twitter is expected to receive bids from potential buyers, including Salesforce, as early as this week.

• CEO Jack Dorsey is pushing to convince his board to give him more time to execute his video strategy.

• The board is focused on third-quarter revenue and user numbers, as well as the early results of the NFL streaming deal.