Oleg Davygora17:45, 01/02/24

Fidelity’s revised X estimate was based on disclosures that ran through the end of November 2023.

Social media platform X has lost 71% of its value since Elon Musk bought it , according to Fidelity Mutual Fund .

Fidelity, which owns a stake in X Holdings, said that since the purchase of Musk, it has reduced the value of its shares by 71.5%, writes  The Guardian.

Fidelity’s revised X estimate was based on disclosures that ran through the end of November 2023.

The disclosure will cover the fallout from a number of major companies pulling ads on X after Musk endorsed an anti-Semitic conspiracy theory. Musk responded to the boycott by telling companies to “go to hell” during an interview at an event in New York.

Purchase of Twitter by Musk

Musk acquired Twitter for $44 billion in October 2022 and renamed Platform X in July 2023. Fidelity estimates X is worth about $12.5 billion.

X’s number of monthly users fell 15% in the first year after Musk took over amid concerns about a rise in hate speech on the platform.

Since Musk took over, X has cut at least 50% of its staff and cut back on moderation. And in September, the European Union issued a warning to Musk after finding that X had the highest percentage of misinformation posts of any major social network .

According to Forbes, Musk is the richest person in the world, with a net worth of $251 billion. In acquiring Twitter, Musk said he was buying the company “to try to help humanity.”

Since the takeover, Musk has restored access to a number of people who had previously been banned from the platform, including former President Donald Trump and right-wing conspiracy theorist Alex Jones.

(C)UNIAN 2024