Loving the work your doing! I've been invested with Shift4 for a couple yrs now. I thought the same pertaining to 🍞 crumbs. That said, I don't think Shift4 will sell anytime soon as it's Mr. Issacman baby. I originally thought Space X would buy it for Starlink (still possible). I would love to see Twitter step up to buy it & it would make a great contribution to Elon's long term goals. Now I see it more that a longterm partnership that will happen between Shift4 & Twitter. Mr. Issacman needs a way to pay for rides on Space X Vehicles & the amazing work he does.
I was going to comment on your first article but time got the better of me.
Fundamentally, you have confused a payments gateway with a payments processor. Shift4 is primarily a payments processor, whereas Twitter wants to be a payment gateway. It does get confusing as the two terms are used quite loosely but a payments gateway exchanges money from one from one party to another whereas a payments processor collects money on behalf of another party. In the card payments (PCI) world we call these service providers and merchants respectively.
Shift4 is a payments processor (service provider) for merchants - effectively their service is provided transparently. For example, as a Starlink customer, all my payments are processed by Shift4. https://www.shift4.com/new-markets
PayPal, for example, is a Payments Gateway as are banks.
It would make NO sense for Twitter to purchase Shift4.
It would be cheaper for Twitter to build it own payment gateway or integrate with another e.g. Fireblocks https://www.fireblocks.com/#
BTW, while my thoughts are on Twitter, I don’t know why Elon doesn’t use this service to verify Twitter accounts as part of the Twitter Blue service. The service is called Veriff https://www.veriff.com and Trustpilot use them.
One acquisition option investigated and apparently checked off as unlikely, but the possibility of a payment system in Twitter still stands. Next?
I was wondering whether anyone has compiled a list of the businesses or features that Elon could potentially add to Twitter to become his all-in-one X.com company. Such a list and the existing examples that might be an acquisition option could generate quite a discussion.
I don’t blame you for thinking that Elon might acquire FOUR as it makes kind of sense but I didn’t think it to be true. I too bought some FOUR shares because I think Jared Isaacman is a rockstar and FOUR is doing extremely well. Regarding why Elon needs the 4B and change, imo just cash flow for a rainy day.
really glad someone has the courage to guess and be up front about it. Guessing Elon might make great game show tho' the outcome in real time might prove a little too long a wait.
The Fed fiddlers along with many misread signals from the incoming data - one overlooked arena is the number of people who've discovered they can get by on lots less by careful management, a direct result of enforced idleness by Covid. This must contribute to the labor squeeze, along with immigration curtailment, and a rise in calling in sick. More covid problems.
What he needs cash for? Maybe like David Lynch he needs a sure supply of Dorritos.
Loving the work your doing! I've been invested with Shift4 for a couple yrs now. I thought the same pertaining to 🍞 crumbs. That said, I don't think Shift4 will sell anytime soon as it's Mr. Issacman baby. I originally thought Space X would buy it for Starlink (still possible). I would love to see Twitter step up to buy it & it would make a great contribution to Elon's long term goals. Now I see it more that a longterm partnership that will happen between Shift4 & Twitter. Mr. Issacman needs a way to pay for rides on Space X Vehicles & the amazing work he does.
🤘😎🤘 Keep on looking for those 🍞 crumbs.
I was going to comment on your first article but time got the better of me.
Fundamentally, you have confused a payments gateway with a payments processor. Shift4 is primarily a payments processor, whereas Twitter wants to be a payment gateway. It does get confusing as the two terms are used quite loosely but a payments gateway exchanges money from one from one party to another whereas a payments processor collects money on behalf of another party. In the card payments (PCI) world we call these service providers and merchants respectively.
Shift4 is a payments processor (service provider) for merchants - effectively their service is provided transparently. For example, as a Starlink customer, all my payments are processed by Shift4. https://www.shift4.com/new-markets
Shift4 are also an investor in SpaceX: “the investment in SpaceX of $27.5 million in the nine months ended September 30, 2021” Source Page 42 of the latest 10Q report: https://investors.shift4.com/financials/sec-filings/sec-filings-details/default.aspx?FilingId=16184758
PayPal, for example, is a Payments Gateway as are banks.
It would make NO sense for Twitter to purchase Shift4.
It would be cheaper for Twitter to build it own payment gateway or integrate with another e.g. Fireblocks https://www.fireblocks.com/#
BTW, while my thoughts are on Twitter, I don’t know why Elon doesn’t use this service to verify Twitter accounts as part of the Twitter Blue service. The service is called Veriff https://www.veriff.com and Trustpilot use them.
Gary Black has an alternate theory. What say you?
Gary's post:
_________
Putting this together, I calculate a -$3.4B/yr $TWTR hole:
Ad revs $1.0B
Subs fees $0.8B
TOTAL Revs $1.8B
Costs/OpEx $4.0B
Int expense $1.2B
Oper loss -$3.4B
Elon’s $4B $TSLA sales could fund $TWTR until end of 2023. No taxes on sales; 2021 cost basis >$340/share.
I beg to differ. No way Elon is running Twitter on a loss of $3.4bn per year. May be an initial year with a $500m to $1bn loss (and still).
Hopefully, the selling by Elon is over, otherwise investors will be in trouble.
One acquisition option investigated and apparently checked off as unlikely, but the possibility of a payment system in Twitter still stands. Next?
I was wondering whether anyone has compiled a list of the businesses or features that Elon could potentially add to Twitter to become his all-in-one X.com company. Such a list and the existing examples that might be an acquisition option could generate quite a discussion.
I am keeping one eye open towards Jack Dorsey and Square, there are a few dots between all these entities.
I don’t blame you for thinking that Elon might acquire FOUR as it makes kind of sense but I didn’t think it to be true. I too bought some FOUR shares because I think Jared Isaacman is a rockstar and FOUR is doing extremely well. Regarding why Elon needs the 4B and change, imo just cash flow for a rainy day.
You are the greatest
Leaning more towards 65% bridge loan, 30% squeamish investors
really glad someone has the courage to guess and be up front about it. Guessing Elon might make great game show tho' the outcome in real time might prove a little too long a wait.
The Fed fiddlers along with many misread signals from the incoming data - one overlooked arena is the number of people who've discovered they can get by on lots less by careful management, a direct result of enforced idleness by Covid. This must contribute to the labor squeeze, along with immigration curtailment, and a rise in calling in sick. More covid problems.
What he needs cash for? Maybe like David Lynch he needs a sure supply of Dorritos.