Hello, I’m Matt Turner, Business Editor at Insider. Welcome to Insider Weekly, a roundup of some of our best stories.
On the program today:
Before we get into this week’s stories: Initiated Kali Haysa senior tech reporter, gives us an update on the battle between Elon Musk and Twitter.
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Your guide to the Musk-Twitter affair
Compared to the previous three months, the story of Twitter and Elon Musk is at a standstill, writes Kali Hays of Insider.
The company and the billionaire are in the midst of legal proceedings, with Twitter winning the first legal dispute when a judge agreed on Tuesday that its efforts to force Musk to buy it should go to trial in October (Musk’s side wanted it in late February).
There will certainly be more arguments between the two sides, probably around the discovery, but the Delaware Court of Chancery is not kidding. This case could be fully resolved by the end of the year.
So what’s the next step?
A pre-trial settlement is not out of the question but is not expected, at least not yet. A person with knowledge of the case said the two sides barely spoke outside of court documents. That could change if something particularly juicy comes along in the discovery period, which is just beginning.
Inside Twitter, employees and executives say they feel in a strong legal position to win the case. If Musk loses, he will either face a hefty damages bill or be ordered to complete his acquisition of the company, perhaps at a lower price.
Lawyers speculated that he might win or just ignore any order against him. But given the court’s enforcement powers, from seizing his Tesla stock to fining virtually any amount, he’ll likely have to comply.
Now let’s move on to this week’s stories.
A-list residents sue small farming town
Amenia, New York, a small farming town about 100 miles north of Manhattan, is home to Silo Ridge Field Club – Michael Meldman’s luxury development full of Wall Street titans, tech executives and professional sports moguls. And many of them are suing the city.
Affluent residents seek to lower their property assessments, pitting them against locals who feel left out. And the shock may not be the last, as the names in bold seek country solace in the age of working from home.
A clash between the ultra-rich and a small town.
At the heart of the IPO revolution
In June 2019, Bill Gurley had lost faith in the traditional IPO process – so he embarked on a crusade to reshape the industry, which put him at odds with some of the most powerful players in the industry. Wall Street.
Insider’s Chief Financial Correspondent Dakin Campbell sheds light on how Gurley went up against Goldman Sachs in his quest – and how, along with Spotify and others, he helped unleash the greatest wave of innovation for hitting the IPO market for decades.
More information about the rebellion here.
Amazon’s controversial rating system
A leaked document shed light on how Amazon officials evaluate their employees, according to an Insider review. Its latest talent guide shows that performance scores are determined by what an employee delivered and how they delivered it.
Amazon staff have previously criticized certain performance review practices, such as the company’s “unregretted attrition rate.” Has Amazon’s latest performance and salary review become less opaque?
Here’s how salary is decided at Amazon.
For more on Amazon, check out:
“We are going to find ourselves in a recession again”
For a long time, Neil Dutta, an economist, was an optimist who opposed doomsday predictions. Now he’s starting to change his mind.
In recent years, low inflation and weak economic growth have translated into low interest rates and economic stimulus. But today, Dutta writes, an increasingly belligerent Federal Reserve has launched an aggressive campaign to quell searing inflation — even if that means pushing the economy into a recession.
Here’s why he’s sounding the alarm.
This week’s quote:
“Last year was basically a fintech night. There was an explosion of fintech companies. But now we’re like in a fintech hangover.”
More of this week’s best reads:
Organized by Matt Turner. Edited by Jordan Parker Erb, Sarah Belle Lin and Lisa Ryan. Sign up for more Insider newsletters here.