"Hey, look over there! I'll make the 6 Million Dollar Man!"
I'm pretty sure he just watches 80s TV for vaporware announcement ideas to use when there's bad press to suppress.
Tesla and SpaceX and StarLink are really impressive from a "had a vision for something on a broadly positive world-changing scale, successfully executed it" perspective.
With Twitter, I'm not sure he actually has a vision.
The best realistic pro-Musk argument you can make is that he can be a real ass, but he's an ass whose companies tend to do amazing things. With Twitter, the best I can come up with is that he had a personal grudge against the platform, and the means to take pattiness to unheard of scales.
I would hazard a guess that pre-Musk Twitter, for whatever reason, had fears around bringing payments onto the service, particularly in the case of sexual content and resolving that, but this led to a situation where other services spring up to fill that void.
However, Twitter Blue was a case of having your cake-and-eating-it-too where I think Musk wanted a story on cash flow not dependent on ads ASAP. In truth, Twitter Blue should've exclusively been a service tier for creators who want to monetize content on Twitter; a case naturally requiring verificaiton. That would've given an incentive and a rationale to the extant pre-Musk creator class that bemoaned its introduction, but Musk really fucked that up by trying to exploit Right wing allegations of Twitter being biased towards the Left (which it never was, rather, the reverse was true[0]) to make up for freaking out advertisers.
[0]https://www.theguardian.com/technology/2021/oct/22/twitter-a...
I'm not sure what you mean by its niche. There are way more Instagram users than Twitter ones, and they are way more exposed to products. It sounds like a much better fit for Instagram than Twitter.
This is the exact vacuous nonsense Sam Bankman-Fried was spouting while playing League of Legends in a VC meeting and it made Sequoia Capital wet their pants. It really puts the cart before the horse of "how or why" Twitter should position themselves this way. It is frustrating to watch people continuously buy into his complete lack of vision or execution.