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Elon Musk threatens legal action against Microsoft for allegedly using Twitter data without permission

Elon Musk, the billionaire entrepreneur and CEO of Tesla and SpaceX, has threatened to sue Microsoft for allegedly using Twitter data without permission. The issue arose after Microsoft revealed that it would drop Musk's social media site from its corporate advertising platform, which uses AI to help ad buyers manage their social media accounts in one place. Musk claimed that Microsoft had illegally trained the platform using Twitter data and tweeted, "Lawsuit time." Microsoft has responded by indicating that its service will still support Meta's Facebook and Instagram.

This spat between Musk and Microsoft comes after Twitter started charging companies for the data it collects from its users, which is essential for targeted advertising. Musk's social media platform, which charges a minimum of $100 per month, helps businesses "understand, track, and benchmark the conversations and perceptions surrounding your brand" through an API (or application programming interface). Previously, Twitter had provided free access to this data.

Also Read:Why Facebook has removed Detailed Target Audiences

While Musk has sought to boost Twitter's finances by monetizing users with a monthly subscription, which grants members a blue verified checkmark, he has also been looking to bring in more cash from companies. Mike Rhodes, CEO, and founder of marketing agency ConsultMyApp commented, "Twitter has a vast amount of data, and it appears Musk is trying to leverage this, in part at least, to improve his advertising offerings. The social platform's advertising revenue has fallen off a cliff since he took over."

Musk had previously made several dire assessments of Twitter's finances shortly after his $44bn (£38bn) takeover last October, claiming the company may face bankruptcy. However, he later stated that the company's finances had stabilized, helped by thousands of layoffs.

This incident is not the first time that Musk has clashed with Microsoft. Earlier this year, he announced plans for his own chatbot to rival the Microsoft-backed ChatGPT, which he claimed has been trained "to be politically correct." The SpaceX and Tesla owner was a co-founder of ChatGPT creator OpenAI, but he left in 2019. Now, Microsoft is OpenAI's biggest financial supporter, having invested billions into the company and rolled its GPT model into products like the Bing search engine and Office apps.

In conclusion, the clash between Elon Musk and Microsoft highlights the growing importance of social media data for targeted advertising. Twitter's decision to charge companies for access to its user data has spurred competition among social media platforms to offer similar services. While Musk's threat to sue Microsoft for using Twitter data without permission may be viewed by some as a power play, it ultimately serves to protect the value of his social media platform. As the competition heats up, it will be interesting to see how social media companies respond to the demands of businesses looking to gain a competitive edge through targeted advertising.

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