Following Elon Musk's acquisition of Twitter, renamed X, the company has struggled with stagnant user growth and unimpressive revenue, prompting banks to consider selling portions of the $13 billion loaned for the purchase. Despite Musk's claims about the platform's potential and past assertions of quick cash-flow positivity, it still faces over $1 billion annually in interest payments. While some banks seek to offload debt without losses, the overall sentiment is cautious. X is also pushing into AI experimentation, but significant operational changes remain unclear with little progress on major financial service initiatives by 2024.
Musk stated that X, formerly Twitter, faces stagnant user growth and unimpressive revenue after his acquisition, considering it in a very dire revenue situation.
Banks like Bank of America and Barclays hold Musk's debt, trying to sell off portions without incurring losses, despite significant drops in equity value.
Musk claimed that X could become cash-flow positive 'within months' nearly two years ago, but still struggles with over $1 billion in annual interest.
The platform is evolving into a testing ground for Musk's AI ambitions, yet signs of a comprehensive financial service by 2024 remain unclear.
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