image of this article category

Musk estimates Twitter's value at $20 billion

27.03.2023 09:01 AM
Latest
Musk estimates Twitter's value at $20 billion
dooklik website logo
share
share this article on facebook
share this article on twitter
share this article on whatsapp
share this article on facebook messenger
Musk estimates Twitter's value at $20 billion
An internal document seen by US media showed that Elon Musk currently estimates the value of Twitter at $20 billion, after the estimated value was $44 billion when he acquired the social network five months ago.

The internal letter to employees relates to profit sharing within the San Francisco-based conglomerate and to the share allocation of X Holdings, which oversees Twitter, since its acquisition at the end of October.

The stock distribution program estimates the value of the platform at $20 billion, which is close to the capital value of Snap, the parent company of Snapchat ($18.2 billion), or Pinterest ($18.7 billion), both of which are Two companies listed on the stock exchange.

AFP asked questions to the email address reserved for the press, but Twitter responded with an automatic response that included only an emoji in the form of a poop pile.

In the internal document, Elon Musk attributes the significant decline in the estimated value of the company to the financial difficulties faced by Twitter, which was close to bankruptcy at a certain stage, he said.

"Twitter was expected to lose $3 billion annually," Elon Musk wrote in a message posted on the platform on Saturday.

This figure, he says, is explained by a loss in turnover of $1.5 billion and debt maturities of an equivalent value.

"But now that advertisers are back, it looks like we're going to break even in the second quarter" of 2023, Twitter's chief and majority shareholder said.

Since taking over the platform, Elon Musk has reduced the group's workforce from 7,500 to fewer than 2,000 employees, by resorting to successive waves of layoffs.

In the internal document, Elon Musk says he sees a "difficult but clear path" toward valuation of the group by about $250 billion, without mentioning a deadline.

The man, who also heads Tesla and the SpaceX group, announced that Twitter would open a window every six months to allow employees of the social network to sell their shares, which are no longer listed.

In addition, parts of the source code for Twitter were published on GitHub, this platform for informatics developers announced Sunday to Agence France-Presse, confirming information published by the New York Times.

At the request of the social network, GitHub pulled these files from its website, but just viewing them, albeit for a short period, may have allowed hackers to identify vulnerabilities in the basic software on Twitter.
 
Related Articles
doolik website logo
OpenAI is offering employees the opportunity to sell up to $1.5 billion worth of shares to Japan's SoftBank Group through a new tender offer, according to sources familiar with the matter. This follows SoftBank's $500 million investment in OpenAI during an October funding round that valued the Microsoft-backed AI company at $157 billion. Employees have until December 24 to decide whether to participate, with the offer price aligned with the most recent funding valuation.
doolik website logo
Samsung’s recent loss of $122 billion in market value has sent shockwaves through the tech industry, exposing the potential price of underestimating the impact of artificial intelligence (AI). Despite being a global leader in electronics and semiconductors, Samsung may have overlooked the rapid advancements in AI, which are transforming every sector, including consumer electronics, manufacturing, and beyond.
doolik website logo
Elon Musk had a surprise in store for Thursday night, but everyone was still expecting Tesla to unveil a driverless cab.
Following his cybercab arrival at his company's We, Robot event, the tech tycoon unveiled a brand-new car called a "Robovan."
This being a Tesla, it did not look like your average truck.
Live Video Streaming
Live video streaming lets you engage with your audience in real time with a video feed. Broadcast your daily show to your audience with no limits, no buffering and high quality videos. Reach all devices anytime anywhere with different video qualities that suits any device and any connection.
$1,120/YE*
The website uses cookies to improve your experience. We’ll assume you’re ok with this, but you can opt-out if you wish.
ACCEPT