By Daniela Carrasco
Marketing4eCommerce Editor
Fidelity , one of the world's largest investment funds and one of the main creditors of X (formerly Twitter) , has again lowered the valuation of the social network X, which has been plummeting since Elon Musk bought it in October 2022. At the time, Fidelity financed more than $316 million of the transaction, which cost $44 billion. However, the investment fund's latest report estimates that the current valuation of the social network is only $12.54 billion (approximately €11.324 billion ) , 71.5% less than at the time of the acquisition.
Exactly one year ago, Fidelity had already announced a 56% bolivia number data reduction in its stake in the social network. Before Musk's purchase, Fidelity Blue Chip Growth Fund's stake in Twitter was valued at $19.66 million . By the end of 2022, that figure had dropped to $8.63 million.
Advertisers flee over anti-Semitic comments
2023 has been particularly difficult for X in terms of advertiser relations. Musk, in a July post, revealed a precarious financial situation due to a 50% drop in advertising revenue and a significant debt load. In November 2023, companies including Apple, Comcast/NBCUniversal, Disney, Warner Bros, Discovery, IBM, Paramount Global, Lionsgate, and the European Commission pulled their ads from X after Musk seemingly endorsed an anti-Semitic message.