Elon Musk’s X Is Worth 72% Less Than When He Bought It: Fidelity

Elon Musk‘s X (formerly Twitter) is entering 2024 in its flop era. A recent analysis from Fidelity, one of the shareholders of Musk’s X Holdings, revealed that the company had lost 71.5 percent of its value since Musk purchased the social media platform.

The November 2023 disclosure from the mutual fund — which contributed over $300 million to Musk’s Twitter takeover — marked down the value of its shares in the company, according to Axios. The new number includes a 10.7 percent cut during the month Musk told advertisers to “go fuck yourself” at The New York Times’ DealBook Summit.

The analysis also comes a year and a month after Musk acquired Twitter for $44 billion and renamed the platform to X in July. Fidelity’s estimate brings that value down to about $12.5 billion. (Musk’s own estimate in October, according to Fortune, was $19 billion.)

In September, Fidelity had marked the value down by 65 percent in the first 11 months. (It’s important to note that other shareholders in X may value their stock differently than Fidelity.)

Musk’s reign over X has been tumultuous, to say the least. After the billionaire acquired Twitter in October 2022, he promised advertisers that the company would not become a “free-for-all hellscape” once he took charge. A few months after he gained ownership of the social media platform, The New York Times released a report showing that hate speech on the platform had risen dramatically since his takeover.

In November, a report by the watchdog group Media Matters found that ads for brands including Apple, Bravo, and Amazon had appeared on X next to white nationalist hashtags such as #WLM (White Lives Matter) or #KeepEuropeWhite. Following the report, X advertisers Disney, Apple, Lionsgate, Comcast/NBCUniversal, and IBM severed ties with the platform.

Last week, X failed to block a California law that requires social media companies to disclose their content-moderation policies. U.S. District Judge William Shubb rejected the company’s request in an eight-age ruling on Thursday.

“While the reporting requirement does appear to place a substantial compliance burden on social medial companies, it does not appear that the requirement is unjustified or unduly burdensome within the context of First Amendment law,” Shubb wrote, per Reuters.

Elon Musk‘s X (formerly Twitter) is entering 2024 in its flop era. A recent analysis from Fidelity, one of the shareholders of Musk’s X Holdings, revealed that the company had lost 71.5 percent of its value since Musk purchased the social media platform.

The November 2023 disclosure from the mutual fund — which contributed over $300 million to Musk’s Twitter takeover — marked down the value of its shares in the company, according to Axios. The new number includes a 10.7 percent cut during the month Musk told advertisers to “go fuck yourself” at The New York Times’ DealBook Summit.

The analysis also comes a year and a month after Musk acquired Twitter for $44 billion and renamed the platform to X in July. Fidelity’s estimate brings that value down to about $12.5 billion. (Musk’s own estimate in October, according to Fortune, was $19 billion.)

In September, Fidelity had marked the value down by 65 percent in the first 11 months. (It’s important to note that other shareholders in X may value their stock differently than Fidelity.)

Musk’s reign over X has been tumultuous, to say the least. After the billionaire acquired Twitter in October 2022, he promised advertisers that the company would not become a “free-for-all hellscape” once he took charge. A few months after he gained ownership of the social media platform, The New York Times released a report showing that hate speech on the platform had risen dramatically since his takeover.

In November, a report by the watchdog group Media Matters found that ads for brands including Apple, Bravo, and Amazon had appeared on X next to white nationalist hashtags such as #WLM (White Lives Matter) or #KeepEuropeWhite. Following the report, X advertisers Disney, Apple, Lionsgate, Comcast/NBCUniversal, and IBM severed ties with the platform.

Last week, X failed to block a California law that requires social media companies to disclose their content-moderation policies. U.S. District Judge William Shubb rejected the company’s request in an eight-age ruling on Thursday.

“While the reporting requirement does appear to place a substantial compliance burden on social medial companies, it does not appear that the requirement is unjustified or unduly burdensome within the context of First Amendment law,” Shubb wrote, per Reuters.