Without a question, one of the wealthiest and most accomplished people in the world is Elon Musk. With SpaceX and Starlink, the millionaire who practically invented the electric car industry is also stomping across space. But even with all of these profitable endeavors, Musk is currently most known for Twitter (X), which he paid $44 billion to purchase. Regretfully, Elon Musk’s purchase price for the platform—which is losing money left and right—has been lowered by 71%.
X is now worth $12 billion, 71% less than when it was acquired
Saying that Elon Musk hasn’t slept well since taking over Twitter surely wouldn’t be considered a lie. He is always trying to find a way to monetize the platform, which is its main problem. Naturally, errors are occurring during this process, and Musk isn’t carefully considering the feedback he receives.
For instance, the site was recently charged with antisemitism. In response to a question concerning his opinions, Musk said of the advertising, Naturally, rather of tackling the existing issues, their responses have created new ones.
Numerous businesses have ended their advertising contracts with Twitter, including Apple. The business took some action under Musk’s direction to stop these problems and wean itself off of advertising. For example, Grok AI added services to the X Premium subscription, such curated sharing and ad-free streaming. Nevertheless, given that the value of X is falling, it doesn’t appear that this was successful. Also Read: In 2024, the iPhone 16 Pro might gain a larger screen
Elon Musk’s purchase of the X was initially backed by a mutual fund called Fidelity, which later took a 71.5% loss on the platform. The platform’s value in 2022 was only 28.5% of its $44 billion acquisition value as a result of this decline. In the meantime, rivals like Meta and Snap saw a boost in their stock valuations and positioned themselves as more secure choices for advertising than X.