Team Blitz India
NEW DELHI: Elon Musk’s X is now worth less than a third of the price the billionaire paid for the former Twitter Inc., according to Axios citing disclosures by Fidelity, which helped him complete the $44 billion purchase.
Fidelity cut by a further 11 per cent the value of its holding in X as of the end of November, the report said, citing the latest portfolio update for its Blue Chip Growth Fund. It extended a series of markdowns as the mutual fund firm gauged the value of the closely held ad-funded company that struggled to attract advertisers back in 2023.
Musk’s acquisition of Twitter in late October 2022 was followed by a cascade of abrupt changes, from drastic layoffs and shuttering of international offices to upending the platform’s moderation policies.
The upheaval put off advertisers and 2023’s revenue from ad sales is estimated to come in at $2.5 billion, far below the prior rate of roughly $1 billion per quarter, Bloomberg News reported.
