It's about time he had some humble pie, he was already aware he wasn't really CEO material for a company of the size LMG has grown to. It's very good there's now someone above him whose job it is to tell him no. Until now, the no's have only come from below his position. Clearly that's not enough anymore.
What happened to Madison shows they should have had professional HR on staff far, far sooner than they did. Her employment there having gone the way it did, means LMG has some serious cracks in its company culture, policy, and the views of its leading staff, including Linus.
But looking at the way LMG operates, and the kinds of things Linus wants to do, and the way he says he wants things to go, shows hes not malicious. It shows he is not sufficiently competent.
This is a fuckup. One that might kill the company. And if it does, they will have done it to themselves. But it's a fuckup, not the evil masterplan of a villanous leader.