The social media platform X has lost 71% of its value since it was bought by Elon Musk, according to the mutual fund Fidelity.

Fidelity, which owns a stake in X Holdings, said in a disclosure obtained by Axios that it had marked down the value of its shares by 71.5% since Musk’s purchase.
Musk acquired Twitter for $44bn in October 2022 and renamed the platform X in July 2023. Fidelity’s estimate would place the value of X at about $12.5bn.

‘Drama magnet’: Elon Musk’s biggest headlines of 2023
The number of monthly users of X dropped by 15% in the first year since Musk’s takeover amid concerns over a rise in hate speech on the platform.

Since Musk’s takeover, X has cut at least 50% of staff and reduced moderation. And in September, the European Union issued a warning to Musk after it found that X had the highest ratio of disinformation posts of all large social media platforms.

Fidelity’s revised valuation of X came from a disclosure which ran to the end of November 2023, Axios reported. X did not immediately respond to a request for comment.

That disclosure would cover the fallout from a number of major companies pulling advertising on X after Musk endorsed an antisemitic conspiracy theory, the New York Times reported. Musk responded to the boycott by telling companies to “go Bleep yourself” during an interview at an event in New York.

Musk is the world’s richest man, according to Forbes, with a net worth of $251bn. When he acquired Twitter, Musk said he was buying the company “to try to help humanity”.

Since the takeover Musk has reinstated a number of people previously banned from the platform, including former president Donald Trump and the rightwing conspiracy theorist Alex Jones.




https://amp.theguardian.com/technology/2024/jan/02/x-twitter-stock-falls-elon-musk

CoronaVirusPro:
The social media platform X has lost 71% of its value since it was bought by Elon Musk, according to the mutual fund Fidelity.

Fidelity, which owns a stake in X Holdings, said in a disclosure obtained by Axios that it had marked down the value of its shares by 71.5% since Musk’s purchase.
Musk acquired Twitter for $44bn in October 2022 and renamed the platform X in July 2023. Fidelity’s estimate would place the value of X at about $12.5bn.

‘Drama magnet’: Elon Musk’s biggest headlines of 2023
The number of monthly users of X dropped by 15% in the first year since Musk’s takeover amid concerns over a rise in hate speech on the platform.

Since Musk’s takeover, X has cut at least 50% of staff and reduced moderation. And in September, the European Union issued a warning to Musk after it found that X had the highest ratio of disinformation posts of all large social media platforms.

Fidelity’s revised valuation of X came from a disclosure which ran to the end of November 2023, Axios reported. X did not immediately respond to a request for comment.

That disclosure would cover the fallout from a number of major companies pulling advertising on X after Musk endorsed an antisemitic conspiracy theory, the New York Times reported. Musk responded to the boycott by telling companies to “go Bleep yourself” during an interview at an event in New York.

Musk is the world’s richest man, according to Forbes, with a net worth of $251bn. When he acquired Twitter, Musk said he was buying the company “to try to help humanity”.

Since the takeover Musk has reinstated a number of people previously banned from the platform, including former president Donald Trump and the rightwing conspiracy theorist Alex Jones.




https://amp.theguardian.com/technology/2024/jan/02/x-twitter-stock-falls-elon-musk

Predictable sequence of events.