Why did Twitter (X)'s valuation tank 56% in one year?::The company formerly known as Twitter, X is valuing itself at $19 billion, per internal documents obtained by Fortune. When Elon Musk bought the company
Let us analyse it critically;
- change of API policies resulted in death of third-party apps.
- exodus of content creators due to inaccessibility of official Apps and user interfaces.
- exodus of high-value users due to lack of high-value content.
- exodus of medium-value users due to increase is low-value content and ads.
- increase in toxic behaviour due to lack of moderation and encouragement of antisocial behaviour.
- fediverse (and Reddit) attracting content creators and users with better (more insular) communities and content.
- loss of brand equity with bizarre name change.
I’m honesty surprised that it only tanked by 56%.
Also, pay attention, u/spez!
U/spez is copying off of Elon’s homework at this point.
Spez said himself he likes what Elon was doing.
Still blows my mind that a co-founder of a popular (at the time) site decided to copy a guy who knows nothing about social media and is running it into the ground.
Yeah, I know spez is an asshole, but it’s still bizarre.
That is true. Can’t say that spez is exactly inexperienced. In fact, he’s been with Reddit for like a decade now.
Spez has been back as CEO of Reddit for 8 years after a break of 6 years from the company.
These guys are so detached from society that the only thing that catches their attention is obscene wealth and power
The 56% is their internal valuation which is probably very optimistic.
Fidelity has devalued their contribution to Elon’s investment by 65% in the past 11 months.
Why did its valuation tank after Elon Musk took over and started enacting his policies? Perhaps we’ll never know…
It’s obviously because us lesser minds can’t fathom the extent of his ingenuity.
Why? Because Musk.
I mean, did it tank? It wasn’t worth what he paid in the first place.
He overpaid for it so that was what it was worth.
I have noticed that lately Ads are just cheap crap from China for hight price. In other words - a money scams… I remember seeing Ford companys ads, invites to move your business to Poland, lots of industy companies… now its just gross crap. I wonder if twitter gets more or less revenue from those scams
This is the best summary I could come up with:
When Elon Musk bought the company one year ago this week, he paid about $44 billion for the microblogging platform, or $54.20 per share.
There are certainly many explanations as to why Twitter’s value has been halved, like how the platform has spent the last year killing global brand awareness, deplatforming journalists and aiding impersonation.
Depending on who is calculating a company’s valuation — a venture capitalist, a government auditor or an egotistical billionaire — the resulting number can vary drastically.
The company, which was taken private with Musk’s purchase, is now offering employees restricted stock units (RSUs) at a share price of $45.
“Since there’s no active liquid market for shares, the company can make an argument that common stock is worth less than the $44 billion price tag,” Haslett told TechCrunch.
“409A valuation sets the tax basis for stock options,” Alex Ross, founder and CEO of the plant care app Greg, told TechCrunch.
The original article contains 549 words, the summary contains 154 words. Saved 72%. I’m a bot and I’m open source!
That’s a bad name for that kind of community.
You posting this on here implies you’ve heard enough of Musk and don’t want to anymore. But that community produces Musk content - is only opposed to worship.
With that context I assume you referenced a related community for OP - the opposite of what I thought you were doing.
It exists to offload Musk spam from other communities so that people tired of him can just block it. I agree, it could have been named better, perhaps ElonNewsDump.
I think the irony is intentional
It’s not. It started as a subreddit. There was a time when Reddit worshipped Musk. The investor-bros and technology pages would just spam articles all over Reddit about him. Anything critical about him would be buried. That’s when r/enoughmuskspam started. It was a counter community to all the musk bullshit. Then public opinion on musk changed. The name is a carry-over from Reddit.
