Josh Weiner
Elon Musk’s social media platform, X (formerly Twitter), is reportedly looking to raise funds at a $44 billion valuation—the same amount Musk paid to acquire the company in 2022, according to Bloomberg.
A Bold Move Amid Investor Skepticism
Since Musk’s takeover, X has faced significant financial challenges, including declining ad revenue and investor markdowns. Fidelity Investments, one of X’s backers, has sharply reduced the estimated value of its stake, reflecting broader concerns about the platform’s ability to maintain profitability.
Musk’s Growing Empire Boosts Confidence
The fundraising talks come as Musk’s other ventures see soaring valuations. Tesla’s stock has surged more than 40% following Donald Trump’s victory in the U.S. presidential race, while SpaceX was valued at $350 billion in December. Additionally, Musk’s AI startup, xAI, is in discussions to raise $10 billion at a $75 billion valuation, nearly doubling from its last reported value of $40 billion.
What’s Next for X?
Despite past financial hurdles, Musk’s confidence in X’s long-term prospects remains strong. By seeking investment at the original $44 billion price tag, he is signaling to the market that he believes in the platform’s future potential. However, whether investors will buy into that vision remains to be seen.
