Large Tesla shareholder Ron Baron reacts to Elon Musk joining Twitter's board, stating that it is meaningless.

• Elon Musk's $3 billion stake in Twitter is not significant, according to Tesla bull Ron Baron.
• He told CNBC that his $3 billion investment is minuscule compared to his $300 billion net worth. With Tesla valued at a trillion dollars and on track to be worth $3 or $4 trillion in the future, the investment is almost insignificant.
• Jack Dorsey's social media platform was not invested in by Baron's firm after it learned that Musk was supporting the company and holding a board seat.

Elon Musk's 9.2% stake in and board seat is not significant, according to Ron Baron, CEO of Baron Capital and a major shareholder.

On Thursday, he told CNBC's "Squawk Box" that he believes the $3 billion investment is insignificant, given that the investor is worth $300 billion and has a company, Tesla, worth a trillion dollars and on track to be worth $3 or $4 trillion.

Since 2014, Baron has been a Tesla investor and stated, "This couldn't have any significance to him."

Jack Dorsey's social media platform was not invested in by Baron's firm because it was discovered that Musk was supporting the company and holding a board seat. Generally, investors consider both the company and its backing individuals before purchasing shares.

Despite a 27% surge in Twitter's stock price following Musk's investment disclosure on Monday, the company's share performance has been lackluster compared to other US tech giants such as Amazon and Google over the past few years.

Musk's acquisition of Twitter occurs just under two weeks after he polled his followers on the platform's adherence to free speech principles. He tweeted, 'Given that Twitter serves as the de facto public town square, failing to adhere to free speech principles fundamentally undermines democracy. What should be done?'

Last month, Musk stated that he was thinking about creating a new social media platform.

A billionaire, besides Musk, has also acquired a substantial share in a major media company.

In 2013, Jeff Bezos, the founder of Amazon, faced criticism after purchasing The Washington Post for $250 million.

While the broader markets rallied to record highs, Amazon shares fell after former President Donald Trump railed against Bezos in a tweetstorm following reports that Post reporters were looking into his past.

Baron stated that scrutinizing Musk's companies is a waste of time and attention when there are more important matters to focus on.

He stated that these things are irrelevant to him as they do not concern him. He added that people can pick up something that can be traded on, such as a short seller or long guy or a hedge fund, but he doesn't care about it.

Elon Musk wasn’t immediately available to comment.