After X raised a new round of capital it was valued at approximately $45B but when debt is considered it was approximately $33B which then was executed as an all stock acquisition. Why are you treating me like someone who needs to dig up information like a puppet or student? There are values, they do matter. You don't have to be publicly traded to have one. End of story.
Xai bought X at the same price Elon paid for which was overpriced.
Nope. I said "has had record active users time and time again"
“Running” is doing some heavy lifting here.
That’s a take. A ****ing terrible one, but it’s a take.
That’s good then.
Haha , I don’t think that’s as prevalent now , maybe so .
But only after the value was boosted by a round of investment from people who were already trying to invest in SpaceX, which everything eventually rolled into. That is the crazy part about valuations, as long as someone commits to giving you money at your valuation, then you can claim that value. Then time determines if adjustments are made. You are correct about him overpaying and time adjusted the value. It was propped up by the investment to make it make sense for xAI to acquire it, then again for SpaceX to acquire xAI, all to cover both businesses that didn't have strong financial paths forward into the one business that has a massive financial future.
The entirety of the process DOES show that. If you think they don't then maybe you just see the end result numbers without understanding how those numbers come to be? I know for the general public it can feel like companies just make numbers up, but they do not. They are formulated and granted many a business tries to use "optimistic" math. Many great "salesmen" can upsell their business but only people good at business can follow through and deliver value. In the end things tend to right themselves over time. Also the idea that a company can go from 44B (overpaid) to 10B in 30 months is really not even that shocking. Shocking is nVidia going from less than $400M to almost 3TN in the same timeframe you mention. Also the boost back up was due to a....you guessed it....new valuation based on investment and not due to the companies performance. Did you look at the presser announcement dates? Do you think it was coincidence? Do you think the xAI deal all comes together in days and the boost in valuation wasn't part of the plan?
Nobody watches YouTube ads. Google have been making the platform worse and worse with higher ad to content ratio and pushing pointless shorts for a while. It’s unsurprising that their strategy is failing.
the company was not losing value.
You are in your own little world bud. I don't have emotions on this. I don't use social media and could care less about Twitter, X, Tick Tock, and whatever else is out there. I don't have any personal vendetta against Elon. I think everyone knows his mouth can get him in trouble 😂 but that is about it, and honestly if anything it helps his businesses. I LOVE all things space and love SpaceX and am rooting for it to be as successful as possible. So whatever you think you know, you are....once again, wrong. My comments in this thread, and any emotions that go along with it, are to correct people who talk as if they know business when they clearly do not. I have spent nearly my career (and since I started my first business at 16, entire life) as an entrepreneur. I have done M&A's and equity raising for dozens of companies, both mine and consulting for others. I know what I am talking about and am passionate about clearing up false information and sharing what I know. Also, nothing I have stated has anything to do with Fidelity. I look at money in, financial reports, debt owed, press releases, acquisition numbers, etc... Nothing about Twitter/X is reinventing any wheels here. No "special" meanings, no bending economics to fit some different paradigm. They are a normal company doing normal things. I don't have to use emotions, I can simply understand the situation from knowledge and experience.
that’s a lot of words to acknowledge that company’s value wasn’t tanking.
the round of investment is an evaluation of the value of the company. no venture capitalist fund would gladly overpay.
