Despite the aggressive policies, Twitter’s fall in value to $ 20 billion angered the employees. Elon Musk still thinks that the company will be valued 10 times.
Elon Musk, who took a crazy step last year and bought Twitter and put his own plans into practice, first laid off 70 percent of the employees and then created new revenue models with subscription services such as Twitter Blue. Still, Twitter is experiencing a massive collapse in value.
How Much Is Twitter Worth?
Elon Musk bought Twitter last year for $44 billion. He later withdrew the shares from the stock market. For this reason, information about the company’s balance sheets and financial value was also limited.
According to the information received, after Elon Musk’s notification, the share bonuses given to Twitter employees began to be calculated on a value of 20 billion dollars, not 44 billion dollars. This means about 54 percent depreciation.
Elon Musk made a statement on the beginning of discontent among employees and stated that reaching a value of $ 250 billion is not easy, but he believes that one day it will happen.
With aggressive layoffs, Twitter has managed to cut costs, at least for a while. The expectation of non-debt spending in the 2023 fiscal year decreased from 4.5 billion dollars to 1.5 billion dollars. The total expenditure expectation was 3 billion dollars. Still, experts say this is not sustainable because many tech giants stopped advertising after the layoffs. Behind the scenes, this has a huge impact on the platform. For a market value of $ 250 billion, Elon Musk needs to do much more.