Elon Musk told employees on March 25 that the company is now valued at $20 billion valuation, according to a senior reporter at The Verge.
That’s less than half of the $44 billion he paid for the social networking platform in October 2022.
The Verge’s Zoe Schiffer tweeted on Saturday, “Musk sent Twitter employees an email about the state of Twitter 2.0. He acknowledged the company has been through a period of radical change, but said the changes were necessary… Because Twitter was previously about 4 months away from running out of money.”
Schiffer continued, “Comp increases will be based on X Corp stock. Current grants are based on a $20 billion valuation. Musk says he sees a ‘clear but difficult path’ to $250 billion valuation which would mean current grants could 10x. Like SpaceX, X Corp (aka Twitter) will do periodic liquidity events so people can sell. Musk says Twitter is on the path of an inverse startup.”
With the Musk-mandated return of several formerly banned users, a rise in antisemitic and other hate speech, broken features and a disastrous blue check rollout that cost Eli Lilly millions, the platform has hemorrhaged advertisers. Many who have left the platform for good, although ad revenue was unexpectedly up for 2022’s fourth quarter.
We would reach out to Twitter’s press department for comment, except they no longer have one. On March 19, Musk tweeted that any inquiries to firstname.lastname@example.org would auto-reply with the poop emoji.