Twitter DELISTED Friday | Important Message to Investors.

Twitter is being de-listed from the New

York Stock Exchange effective October

28th Friday that's likely because Elon

Musk wants everyone to let his new

ownership sink in well he's expected to

take ownership of Twitter at 5 pm and

says the rumors of him dismissing 75

percent of the staff are false well even

though he is expected to cut a lot of

expenses at Twitter he's got an uphill

battle to work in the valuation for

Twitter and in this video I'd like to

talk about what you're buckling up for

if you're deciding to ride or die with

Elon Musk when this company goes private

and the shares are delisted Friday I'm

not entirely sure if that's Friday

morning or Friday at the closing bell

either way before or after Friday

Twitter will be delisted and it will be

a private company so we know that Elon

Musk is paying about 44 billion dollars

for this company the largest idea that

he has is growing the user base of

Twitter from it's current about 200

million users let's not even get into

the discussion of how many of those are

actually bought two one billion users

that's about a 5x growth in users and

then hopefully 10xing the monetize I

monetizability of Twitter in order to

essentially produce real cash flows and

uh the idea of Elon Musk purchasing

Twitter for 5420 has been the reason

that Twitter has actually traded

relatively close to 5420 because quite

frankly Twitter would probably be

selling for close to 15 to 20 dollars

today since advertising companies are

absolutely getting reamed uh during this

uh this recession and it's really what's

a beginning of recession which stocks

tend to price in the worst of of course

now we're getting actual EPS misses from

companies like Google Microsoft and

Facebook and so what do we get big

downshifts all at all companies except

for Twitter of course because elon's

paid 54-20 for it now look it's all new

he knows he's overpaying he was paying

at the time like 70 times 2022 earnings

that should have compressed by at least

half it's old news to say he's paying

double what it's worth we got that

what's he going to do with the company

well again double well 5x Revenue sorry

5x the user base and 10x the revenue and

how does he plan to do that well

according to sort of internal rumors

that we're hearing Elon Musk is also

hinting about this on Twitter that we

might see Twitter turn into a Twitter

space that can also include monetizable

videos including subscription based live

streams where you could essentially sign

up for a one-time paid live stream or a

paid Style live stream think about

Twitter spaces but either for exclusive

members or through some sort of paid

subscription model kind of like maybe

when I used to do Market open and close

live streams publicly a paid version of

that and then hosted on Twitter and one

of the things that I'd like to add in

terms of commentary is in order for this

to be successful we should potentially

look at the number one competitor in the

space of a long form video and now we're

not talking about short form video which

would be Facebook reels YouTube shorts

or tick tocks we're talking about long

form generally deemed to be eight

minutes plus but really anything over

about three minutes and that is a

horizontal video video would be a

competitor like twitch Vimeo Facebook

video or YouTube and clearly the

elephant of the room is YouTube YouTube

has the number one Nielsen rating for

most watched streaming service as of

September of 2020 which is actually an

impressive feat but when we look at the

numbers of the earnings provided by

YouTube for Google we can see that

YouTube advertising is down about 1.85

percent uh year over year and if we look

at the percentage of Revenue that comes

from YouTube compared to the total

revenue for Google we can see that

YouTube makes up less

then the Google network of income it

does make up nearly twice as much as

Google Cloud but makes up a fraction of

the ads that are spent on search in

total YouTube ads make up only about

10.2 percent of of Google's entire

revenue and that's actually declined as

a share of Revenue YouTube used to

represent 11 in income this was back in

uh 2021 and now represents just 10.2

percent so not only is it experiencing a

downshift in sort of the trend of growth

but it's also becoming a less important

part of Google's revenue which one of

the reasons people have been very

enthusiastic about Google over the last

few years has been because of YouTube

but that is actually becoming less

notable at Google and so for Elon Musk

to suggest hey let's just turn Twitter

into a potentially to suggest let's turn

Twitter into a platform for long form

monetizability I have a few suggestions

for Elon Musk and a warning so the first

in terms of suggestions

monetization is everything YouTube and

Google have announced that they're

planning to incorporate product

placement buttons that pop up within

videos while the videos are playing so

maybe kind of like the little cards that

pop up for another video you could

actually purchase merchandise directly

kind of like some channels have the

merchandise shelf below videos this

would actually pop up in videos when

certain products are mentioned so if I

say hey you know I've had a really good

experience with my Google pixel phone

click the link down below you could

potentially do that directly through uh

through a link that actually pops up on

screen one that hopefully is also

tapable on your iPhone and that would be

my recommendation to Elon Musk make sure

that if you would launch some sort of

long-form video content you immediately

launch with features that are

potentially not only more advanced than

what YouTube's going to come out with

but are at least as good as what YouTube

has it really wouldn't be that difficult

to have the option to implement some

form of iPhone because we know that or

even smartphone in general we know about

50 percent of viewers are watching on

their phones if not as many as 60 of

people that while you're watching a

video vertically you can actually click

a button shop for a product while the

video is maybe still playing in sort of

the miniaturized player that I think

would be Priceless and now YouTube is

working in that direction so you've got

work to do here obviously the most

important thing is advertising revenue

for creators now look there is a lot of

entertaining content on Tick Tock and

with shorts but my personal opinion is

that if you want real education and real

perspective you frequently need to

resort to longer form video to get that

and that's because you're going to

attract a better Talent when you can

actually pay creators through a

monetizable video for example on YouTube

when a video is more than eight minutes

long we can monetize that video so if I

knew you that every single video I made

made 500 bucks for example I might think

to myself well damn I'll just make 10

videos a day almost five grand a day you

know just as an example right so whereas

if somebody told you every video you

made made five dollars like shorts

frequently do and you spent the same

amount of time making that kind of

content uh you know making that content

viral or viralask and attractive on a

short form content where it really

incentivizes more editing than

potentially a valuable perspective well

or just straight up content theft which

is rampant in shorts people just

basically regurgitating the the same

almost verbatim content that you get of

other people's shorts have gone viral

right like this is not this is not

actually perpetuating Society in a

better Direction so personally I haven't

been extremely interested in shorts

although I've posted some shorts that I

think have been very very educational

and have done well but personally I

think in order to really attract High

Caliber creators monetization needs to

be a number one priority benefit to the

user who gets better quality content and

it's a benefit to the Creator who is

incentivized to continue to make their

content better and better not having

monetization for Content I think is is a

really bad Doom Loop of uh really

chasing not so educational Trends now

there are a lot of things that are just

meant to pass time and that's fine but

if the goal is to educate and actually

help people build wealth and I don't

know that necessarily shorts are that

option so that is a big priority number

one monetization and if there's a way to

include or incorporate more clearly or

transparently product placements or

advertisements to wear maybe a little

Creator banners come up in an integrated

way that's controlled by the Creator I

think that's a real opportunity to

expand revenue and you've really got a

lot of work to do because here's the

thing remember YouTube is just about

10.2 percent of the revenue of Google

that's about a 1.2 billion dollar market

cap company that's worth about 120

million dollars alone just for YouTube

buying Twitter for for about 44 bills

suggest that that might be a 3X if you

can just compare to being par with

YouTube but to be par with YouTube

you've got to be able to drive the

revenue so if you're going to drive

Revenue with video you've got to learn

what YouTube has done well and

personally that's videos over eight

minutes with one or two ads in between

and supporting creators ability to build

revenue so they continue to bring

content to the platform now a danger

that you're going to face is people just

posting the same video on YouTube and on

Twitter so somehow creating an organic

incentive for people to post video

videos on Twitter

to be a little bit challenging and this

is where I do have a word of caution

because you do have an audience on

Twitter that's very attuned to short

form text in fact generally even threads

uh you know the second tweet in a thread

gets maybe 10 percent of the engagement

of the initial tweet it's usually just

initial tweets that do well and go viral

and so it makes me wonder how many

people are really going on Twitter to

spend eight minutes on a video versus

you know 30 seconds of scrolling between

bus stops uh to see what the latest

tweets are or news notifications

I actually have uh right here just Out

Of Reach of this camera right ding I

touched it uh an iPad and I have a

scroll list here of uh all my Twitter

notifications so I actually have

notifications on for uh just a limited

subset of individuals or companies and

so I have a scrolling feed that's

basically a free news service almost of

of notifications it's just an always-on

iPad that just sits here so to me it

would be relatively useless in this sort

of purpose to have a bunch of videos pop

up here because I use Twitter for

different purposes so I do have a

concern for that and I think that's a

red flag for the rider Dyers going in on

Twitter betting that this is going to be

so easy to monetize I don't know why

individuals would really be incentivized

to to create for Twitter rather than

YouTube or to leave YouTube to go onto

Twitter uh that would potentially be a

very expensive Endeavor to convert

people like Joe Rogan uh or it would be

a very difficult grind to prove that

someone how the Twitter service is

better and the eyeballs are actually

there and I don't know that the user

base on Twitter is looking for video

content again when I think of video hey

how to change an outlet I'm not going to

Twitter for how to change an outlet I'm

going to the number one video search

engine and that's uh you know hey

YouTube yeah it just is what it is you

also have the competition of Google if I

type in to search how to do something

usually Google videos come up so you do

have a sort of a little bit of a

roadblock there although there are

arguments that that's anti-monopoly and

maybe videos or that sort of encouraging

Monopoly right that's anti-free

Enterprise and uh and competitive and

therefore there should be Twitter videos

that show up there but now do

individuals need to purchase potentially

a Toyota premium membership so that that

way they don't have to constantly see

ads uh which is something else to

consider I'm sure that'd be an option

and then would it be site-wide or

individual wide I think there are a lot

of challenges I do think that there are

a lot of opportunities for removing some

of the filtering and being more

transparent about content moderation

that does happen at Twitter I think that

would be phenomenal I do think that

Center censorship should exist to the

extent that laws are violated but not

beyond that for example when I announced

my campaign for governor against uh you

know a a camp an existing campaign who's

heavily funded by big Tech in California

uh you know I had my post deleted and

censored and and that's really not okay

right that's that sort of censorship is

unacceptable I mean we almost had to sue

CNN we had to send them a cease and

desist letter for for censoring the

existence of our campaign blatantly and

it was disgusting so uh censorship is is

absolutely terrible and should never

exist everything should should exist out

in in the open I'm a big proponent of

that and it's one of the reasons why I'm

very transparent about uh failures that

I have or mistakes that I make uh or or

problems that I face because I I don't

think transparent currency is just let

me just show you all the good it's let

me show you some of the downsides as

well so I do think transparent content

moderation is great but we also risk

potentially uh turning into a one-sided

political Echo chamber and that's sort

of a danger that I believe that certain

platforms like rumble or even parlor

have fallen victim too because

unfortunately uh these particular

platforms can cater specifically to one

demographic one political party and then

it's it's almost like you have an even

worse situation because you're just

adding fuel to the fire of of anger and

hate for for another side in an echo

chamber rather than promoting uh

discourse so uh that's difficult I do

think that video is a way of providing

more perspective but uh I I really have

trouble seeing how Twitter is going to

pull that off I am hopeful though

because I think that if anyone is doing

it uh or can do it rather I should say

Elon can do it I I'm very bullish about

that so I'm very excited for Elon but I

think there are

a lot of challenges in becoming a new

YouTube It's personally not something

that I would invest in I own one share

of Twitter it's not an investment that I

would make I think I'm down 50 day one

uh on my ownership of Twitter at 5420 uh

yeah I do think that there are a lot of

uh costs that need to be cut and uh I am

not exactly sure how tweets are as

monetizable as videos ever which it

makes sense why then Elon might be

considering moving into the direction of

a of a video style platform but I think

you have a lot of competition there so

the really remaining option here is okay

what if you just lay off so much staff

that you take the company down to a

skeleton crew rather than having 7 000

employees or 7 500 employees roughly

which you do now uh you go down to I

mean this sounds ridiculously extreme

but I'm going to purposely go extreme

you go down to 500 and and almost

everything is just handled

algorithmically or through Bots and any

kind of moderation is is publicly shown

and intervention is extremely limited

really what you need now is is a sales

team that's almost all you need I mean

you need a small engineering team and

and a sales team and the sales team's

job is to bring in marketers and brand

partners for your creators because your

creators are the backbone of the

platform they are what bring viewers

back and without the creators there are

no viewers so you you build it and they

will come and people will continue to

come back as long as the perspective

that you share or the Creator share is

is valuable and so I think that's the

the goal of everyone as a creators

provide value but the goal of the

platform is to incentivize providing

value because again if there's no money

to be made then what's the point of

bringing quality value uh to to that

platform it just makes sense to say on

YouTube in that case so speaking as a

Creator I'm personally very skeptical

I'm very excited because I'd love to see

what happens

but I can't say that I'm optimistic

although I will always wish Elon the

best that this is not you know by no

means do I ever consider myself a you

know a hater I think of myself as uh as

as just a a reasonable entrepreneur who

has hope but also has a check of realism

so I wish everyone the best who's an

investor in Twitter this video is not

Financial advice if you want more not

Financial advice check out my programs

on building your wealth linked down

below especially our fundamental live

streams that we do every single morning

the market is open thanks for watching

we'll see in the next one