Do you think Elon is confused?
The question wasn't for me, but no I dont think he is confused, he know exactly what he is doing. He is not the typical billionaire and I wish more billionaires could be like him instead of Jeff Besos for example, or bankers (fuck bankers).
He understands of course twitter is a private company, but he thinks (my opinion) that twitter reached a status where it is more than a company, it became de facto the public square for people public discourse. I would include other places alongside such as reddit and facebook, reddit is the worst. In being a "public square" it has the responsibility to allow free speech, to allow ideas to be discussed and let public decide which ones are good or not, and not a board of people deciding "this can be published, this cannot".
As he have seen recently, a combined effort by just a few of those companies is enough to bury a story, a person, a subject to be discussed.
But I think his strategy is not the best. I think the impact of him and a few other people by leaving twitter and opening an account in another lookalike company would have a much bigger impact in the discussion. Or open himself a new company, or buy a smaller one and throw money in it.