Big banks are reportedly trying to sell portions of the $13 billion debt package that funded Elon Musk’s purchase of Twitter, now called X. This news comes from a recent report by The Wall Street Journal. Since Musk took over, the platform’s financial situation has been shaky, with the billionaire frequently raising concerns about declining revenue.
These worries were highlighted in a leaked internal email to X employees, which The Verge confirmed as authentic. In the email, Musk praised the platform’s role in shaping important conversations but also painted a grim financial picture. He pointed out issues like stagnant user growth, disappointing revenue, and a business that’s barely staying afloat.
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Nearly two years ago, Musk had predicted that X would achieve cash-flow positivity “within months.” However, the platform is still struggling with heavy financial burdens, including over $1 billion in yearly interest payments from the loans used to buy it.
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Musk has introduced new features to X, such as job listings and a dedicated video section. Yet, his ambitious plan to turn the platform into a full-fledged financial services hub by the end of 2024 seems far from reality. Instead, X has become more of a testing space for Musk’s artificial intelligence projects, as seen in recent updates. This direction marks a noticeable shift from his earlier vision of creating a platform that could handle “someone’s entire financial life”—a goal that still appears out of reach.
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