Elon Musk Values Twitter 54.5% Less Of $44bn He Bought It
Elon Musk has put the current value of Twitter at $20 billion, less than half the $44 billion he paid for the social media platform just five months ago, according to an internal email.
The email to employees referred to a new stock compensation program in the San Francisco-based company and the allocation of shares to employees of X Holdings, Twitter’s umbrella company since Musk purchased it in late October.
The compensation plan values the platform at $20 billion, slightly more than Snapchat’s parent company Snap ($18.2 billion) or Pinterest ($18.7 billion), both of which are publicly traded, unlike Twitter.
Musk, who is also the chief executive of Tesla Inc. and aerospace group SpaceX, said that Twitter would allow its employees to cash in shares every six months.
In the internal email, Musk describes the brutal contraction in Twitter’s value. He says the platform faced such grave financial difficulties that at one point it was on the verge of bankruptcy.
“Twitter was trending to lose ~$3B/year,” Musk said in a message posted Saturday on the platform.
He cited a revenue drop of $1.5 billion a year and a debt-servicing burden of the same amount — leaving it with “only 4 months of money.”
Musk, Twitter’s majority shareholder, added simply: “Extremely dire situation.”
But he then said that “It looks like we will break even” in the second quarter of the year, with advertisers — many of whom fled the platform after the mercurial billionaire bought it — now beginning to return.
Since taking control, Musk has sharply cut the group’s payroll from 7,500 employees to fewer than 2,000.
He said in the email that he sees a “clear but difficult path” to a valuation of $250 billion, without specifying how long that might take.
Twitter Introduces 10,000 Characters To Subscribers
Twitter has introduced a new feature that will let Blue subscribers post 10,000-character-long posts — as if the social network is trying to compete with a rival newsletter platform. Along with this, this Twitter has also added support for bold and italic text formatting.
In February, the social network introduced 4,000-character-long tweets for Blue subscribers to encourage people to publish longer posts instead of threads.
This company’s push for long-form writing comes at a time when Elon Musk is introducing creator monetization tools. On Thursday, he announced that creators can apply for monetization and offer subscriptions to users.
For the next 12 months, Twitter will give all money to creators after paying Apple or Google their 30% cut. Post that, the Apple/Google tax will reduce to 15% and the social media company will take a small fee from creators.
Nokia Aims For The Moon With 4G Internet
Nokia will establish a 4G mobile network on the moon later this year in an effort to improve lunar findings and perhaps pave the door for human habitation on the satellite planet.
Nokia’s principal engineer, Luis Maestro Ruiz De Temino, told reporters earlier this month at the Mobile World Congress trade show in Barcelona that the Finnish telecoms firm plans to deploy the network aboard a SpaceX rocket in the coming months.
The network will be powered by an antenna-equipped base station located within the Nova-C lunar lander manufactured by the US space company Intuitive Machines, as well as a solar-powered rover.
The lander and rover will communicate over an LTE network.
The equipment will be installed in the Shackleton crater on the moon’s southern limb.
According to Nokia, the technology is designed to withstand the harsh conditions of space.
NASA’s Artemis 1 mission, which aims to deliver the first people to walk on the moon since 1972, will use the network.
According to Nokia, the goal is to demonstrate that terrestrial networks can handle the communications needs of future space missions. The network provided by Nokia will allow astronauts to speak with one another and mission control, as well as remotely operate the rover and transmit real-time video and telemetry data back to Earth.
The lander will be launched by a SpaceX rocket, according to Maestro Ruiz De Temino. He explained that the lander has a propulsion mechanism that will bring it all the way to the moon’s surface; the rocket will not carry it all the way there.
Anshel Sag, chief analyst at Moor Insights & Strategy, sees 2023 as a “optimistic target” for the debut of Nokia’s devices.
According to Sag, who communicated with Trade Algo through email, there is a good probability they will launch in 2023 if their selected launch partner does not have any setbacks or delays.
AI Could Replace Equivalent of 300 Million Jobs – Report
According to a research by investment firm Goldman Sachs, artificial intelligence (AI) might replace the equivalent of 300 million full-time jobs.
It has the potential to replace a quarter of all labor duties in the United States and Europe while also creating new employment and increasing productivity.
Furthermore, it has the potential to boost the overall yearly value of products and services produced globally by 7%.
According to the paper, generative AI, which can produce content that is indistinguishable from human effort, is a “major advancement.”
The government is eager to encourage investment in artificial intelligence in the UK, which it claims will “ultimately increase productivity across the economy,” and has attempted to reassure the public about its impact.
“We want to ensure that AI complements, rather than disrupts, the way we work in the UK – making our jobs better, rather than taking them away,” Technology Secretary Michelle Donelan told the Sun.
According to the paper, the impact of AI would vary across sectors: 46% of administrative jobs and 44% of legal professions might be automated, but just 6% in construction and 4% in maintenance.