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My theory is that someone has unflattering evidence of him on Epstein Island and other such things. I think those evil mob forces have him by the balls and they want Twitter killed subtly since the left organizes there and other countries have organized revolutions against authority there. So his job is to kill it and make it look like he just fumbled it. I think the only thing he regrets is whatever it is he did that gave people the power to blackmail him.
While I'm OK with entertaining the proposition he's also probably a pedophile given his obsession with calling other people that (albeit if he was a practicing one I'd have expected a victim to have spoken out by now, whether he visited Epstein's island or not), the whole buy out happened very publicly and was very much in keeping with the instability and narcissism we're increasingly aware he represents.
Basically the Musk we had started to realize existed when he lied about CaHSR and proposed a bad-faith vaporware "technology" as a replacement, when he accused a hero of being a pedophile for stating the obvious about his "help", when he became estranged from his daughter because he couldn't accept her having gender dysphoria, when he kept repeating the same claim about the readiness of self driving technology over the space of half a decade, screwed up in exactly the way we'd expect him to.
He didn't need to be blackmailed. This is who he is.
Maybe someone else took the horse.
/s?