If you're definitely going to lose a lawsuit, it generally makes sense to settle; saves wear and tear in lawyers. I assume his lawyers told him he had no hope. Persisting past the point where he had no hope would be particularly silly in this case, as that would not only raise his legal bills, but also _Twitter's_ legal bills, which he was about to inherit. (Note that he's trying to sue Twitter's lawyers over those bills now...)

> It's kind of an odd outcome.

It's really not. Civil stuff rarely goes to trial, in the scheme of things. If there's no doubt of the outcome, anyone even vaguely sensible will settle.