Elon Musk Admits Poor Timing for Twitter Purchase
In a new interview with Fox News, Elon Musk, the CEO of Twitter, said that his decision to purchase Twitter for $44 billion probably won’t have been the best financial move, at least for now. Musk acknowledged that his timing was unfortunate, stating that it “remains to be seen whether this was financially smart – it currently is not.” He went on to confirm rumors that the company is currently valued at about $20 billion, or half of what he paid for it.
Musk’s Mixed Signals on Twitter’s Financial Health
Despite this admission, Musk still believes that Twitter is valuable in other ways, such as creating a space for free speech. He has been criticized for arbitrarily suspending users who have criticized or competed with him, but he remains committed to his goal of making Twitter a safe haven for open expression. While he did not express regret about buying the company, he did acknowledge that “some things are priceless.”
Musk’s Commitment to Free Speech on Twitter
Musk has sent mixed signals about Twitter’s financial health in the past, predicting that it could become the world’s most valuable company at an investment conference, while privately telling staff that it was on the brink of bankruptcy without increased subscription-based revenue. He has also claimed that the company is at a “roughly breakeven” point and should have positive cash flow next quarter. However, it’s difficult to verify these claims since Musk took the company private.
Twitter Blue: A Crucial Component for Financial Stability
Musk’s main priority now is to add more subscribers to Twitter Blue, a subscription-based service that offers exclusive features like a blue “verified” checkmark. However, only a small percentage of Twitter’s daily active users are currently paying subscribers. Musk has even threatened to strip legacy verified accounts of their checkmarks to encourage users to pay for the service.
Musk’s Overall Net Worth
Despite his admitted financial misstep with Twitter, Musk’s overall net worth is estimated to be $189.2 billion, making him the world’s second-richest person behind French businessman Bernard Arnault.