With the FTC breathing down his neck, advertisers leaving in droves, and staff cuts leaving users' privacy vulnerable, Twitter faces a genuine risk of collapse. Revenue decline aside, the FTC could fine the company billions of dollars if it feels it's breached its settlement, which would virtually evaporate any prospects of Musk making it out of this dilemma unscathed.
Musk's Twitter purchase can be seen as a calculated business strategy or as an attempt to dominate the news cycle. Either scenario will likely bring success to Musk and his companies, despite the seemingly feeble start. While some might say he's stretched too thin, it would be foolish to think he doesn't have some tricks up his sleeve to boost all three of his companies' valuations through his new social media platform.