X Valuation: Elon Musk's Platform Seeks Funding at $44 Billion

X Corp. Seeks New Funding at $44 Billion Valuation

According to reports from Bloomberg News, Elon Musk’s X, previously operating as Twitter, is currently engaged in discussions with potential investors to secure new funding.

The proposed valuation for this funding round is $44 billion. This figure is notably the same price Musk originally paid when he acquired the social media platform in 2022.

Advertiser Concerns and Previous Valuation Adjustments

This development follows a significant markdown of Fidelity Investments’ stake in Twitter. In December, Fidelity reduced its valuation by approximately 70% compared to the original 2022 purchase price.

This adjustment reflected challenges the platform faced in maintaining its advertising revenue base.

Ongoing Negotiations and Potential Outcomes

Bloomberg emphasizes that the financing discussions are still in progress. Consequently, the specifics of any potential deal remain subject to change.

There is also a possibility that X Corp. may ultimately decide to discontinue these negotiations.

First Funding Round Under Musk’s Ownership

Should the investment round be successfully completed, it would represent the first instance of X seeking external funding since Elon Musk transitioned the company to private ownership.

Impact of Political Involvement on Musk’s Portfolio

Simultaneously, valuations for other companies within Musk’s portfolio have experienced substantial growth. This coincides with his increased involvement with President Trump’s administration.

For example, Tesla’s stock price has increased by over 40% following Trump’s election. SpaceX’s valuation reached $350 billion in December, representing a 67% increase from its June valuation.

xAI’s Funding Pursuit

Furthermore, Musk’s artificial intelligence venture, xAI, is reportedly in negotiations to raise $10 billion, which would value the company at $75 billion.