X, the social media website previously often called Twitter that Elon Musk purchased in October 2022 for $44 billion, is now price $9.4 billion, in line with new estimates from Constancy.
Constancy marked down the worth of X by almost 80% (precisely 78.7%) in its Blue Chip Progress Fund annual report, filed Saturday. The submitting confirmed that Constancy’s preliminary funding of $19.66 million in X simply earlier than Musk took over was price $5.5 million as of July 31. The Blue Chip fund invests in established corporations and goals for long-term progress.
Elon Musk. Picture Credit score: Jon Shapley/Houston Chronicle through Getty Photographs
This is not the primary valuation reduce X has obtained from Constancy.
Associated: Elon Musk Is Formally Shifting X Out of San Francisco: ‘No Alternative’
In December, Constancy disclosed that X was price 71.5% lower than when Musk acquired it, at a valuation of $12.5 billion. In October 2023, Constancy valued X at $19 billion.
A September 2024 media reactions report from analytics firm Kantar confirmed that over one in 4 (26%) advertising companies plan to chop down advert spending on X subsequent yr, the largest withdrawal from any main social media platform. X additionally had the bottom general percentages of entrepreneurs who thought adverts on the platform had been reliable and modern in comparison with Instagram, YouTube, and TikTok.
In October 2023, Apple, IBM, and Disney pulled adverts from X after an antisemitic put up from Musk. They had been the eleventh, fifth, and eighth-largest advertisers on X.
Associated: X Is Shedding Customers and Struggling to Entice Creators, In response to New Information