Twitter's market value is now one-third of what entrepreneur Elon Musk paid to buy it, according to Bloomberg, citing investment holding Fidelity.
Musk bought the social network for $44 billion, and admitted he paid more than its market value. He recently said that now the company is worth half as much. Fidelity reported a 44% drop in the value of its Twitter shareholding last November, and has reported further declines twice since.
Twitter was sold to Elon Musk with debts totaling $13 billion. The chaotic decisions he made led to the fact that the social network's advertising revenue fell by 50%. To remedy the situation, Musk began offering a Twitter Blue subscription, which allowed anyone to authenticate and receive a blue checkmark next to their account name. So far, less than 1% of the active users of the social network have bought it.
According to the Bloomberg Billionaires index , which takes into account data from Fidelity, the stake in Twitter, acquired by Elon Musk in 2022 when buying the company, was worth more than $25 billion, while now its value is $8.8 billion.