Fidelity: Twitter is Only Worth a Third of What Elon Musk Paid for It

So, I came across this interesting article titled Fidelity: Twitter is Only Worth a Third of What Elon Musk Paid for It and it has some eye-opening facts about everyone’s favorite bird-app. Basically, it talks about how Fidelity Investments, one of the largest mutual fund companies in the U.S., downgraded Twitter’s value by more than $2 billion, saying it’s only worth a third of what Elon Musk paid for it.

To sum it up, the article says that Twitter is facing a decline in user growth and engagement, and it’s struggling to attract new advertisers. This has resulted in Fidelity cutting its valuation of Twitter by over 24%, causing its shares to fall by 2%.

But here’s the kicker - Elon Musk, the CEO of Tesla and SpaceX, bought 9.9 million shares of Twitter in 2021. Even though Twitter’s value has dropped, Musk’s investment is still worth almost $1 billion. Talk about being a shrewd businessman!

Personally, I’ve always been a fan of Twitter, but I’m not surprised to hear about the decline in its user growth and engagement. Instagram and TikTok are dominating the social media game right now, and it seems like Twitter is struggling to keep up. However, I think Twitter still has a lot of potential, especially for breaking news updates and real-time conversations. Plus, where else can you find the perfect combination of witty humor and political commentary?

All in all, Fidelity’s valuation of Twitter may not be the best news for the company, but it’s definitely something worth paying attention to. As social media continues to evolve, it will be interesting to see how Twitter adapts and thrives in the future.