Elon Musk's X Valued at Just 29% of Purchase Price, Fidelity Reports

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Source: Business Insider
Elon Musk's X Valued at Just 29% of Purchase Price, Fidelity Reports
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TL;DR

Fidelity Investments reports that the value of the company formerly known as Twitter, now referred to as X, has plummeted by 71.5% since Elon Musk's acquisition in October 2022. Despite Musk's initial $44 billion investment, Fidelity's revaluation reflects a significant loss, exacerbated by a substantial drop in advertising revenue and a debt burden. The decline in value follows a tumultuous year, including an advertising boycott from major companies like Disney and IBM after Musk's controversial endorsement of an antisemitic post. Musk's confrontational stance towards advertisers and acknowledgment of the existential threat posed by the boycott underscore the platform's financial and reputational challenges.

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