In the dynamic landscape of social media, Elon Musk’s acquisition and rebranding of Twitter into ‘X’ has been one of the most audacious moves in recent times. However, as 2024 unfolds, this once heralded platform faces a sobering truth: a staggering 71% decline in its valuation, raising eyebrows in tech and investment circles alike.

A Precipitous Fall in Market Value

Key to this narrative is Fidelity Investments, which played a critical role in backing Musk’s $44 billion purchase. Fidelity’s recent reports reveal a sharp 72% decrease in the value of X​​. This markdown isn’t just a blip but reflects a trend of declining value in Musk’s era of leadership, marked by a 19% decrease in its most recent update alone​​. This valuation nosedive is indicative of X’s struggles to retain advertisers amidst an overwhelming $13 billion debt.

Turbulent Leadership and Its Consequences

Musk’s tenure at X has been anything but conventional. His approach – characterized by sweeping layoffs, shuttering international offices, and overhauling content policies – has sent shockwaves across the platform​​. The result? A substantial decline in advertising revenue, estimated to dwindle to $2.5 billion in 2023, a far cry from the previous rate of roughly $1 billion per quarter. These actions, coupled with Musk’s often controversial public statements, have not only disrupted X’s internal dynamics but also strained its relationships with major advertisers and stakeholders​​.

The Ripple Effect of Leadership Decisions

Musk’s impact on X extends beyond financials; it’s about leadership style and vision. His penchant for abrupt, often unorthodox decisions has not only affected X’s financial health but also its brand image and market position. This decline is as much about the numbers as it is about public perception and investor confidence in Musk’s ability to steer the company.

Navigating Uncertain Waters

The way forward for X is shrouded in uncertainty. How Fidelity derived its latest valuation, and whether it possesses non-public information, remains unclear​​. In a highly competitive and rapidly evolving social media landscape, X’s ability to innovate, retain user interest, and rebuild advertiser trust will be crucial.


The narrative of X, from its zenith as Twitter to its current state under Musk’s stewardship, is a complex tale of high-stakes entrepreneurship and the volatility of the tech industry. As X’s valuation continues to be a point of contention and speculation, it serves as a poignant reminder of the impact leadership decisions can have on a company’s destiny. The future of X, while uncertain, remains a focal point of interest, symbolizing the unpredictable nature of tech ventures and the thin line between visionary leadership and tumultuous management.