The social network X, formerly known as Twitter, owned by Elon Musk, has raised approximately one billion dollars in a new funding round, during which the company was valued at as much as 44 billion dollars, returning it to the level of 2022 when Musk originally purchased it.
According to the Financial Times, Musk himself participated in the latest funding round, along with companies Darsana Capital and 1789 Capital. Interestingly, 1789 Capital collaborates with Donald Trump Jr., the son of the current U.S. president, and has previously funded Musk’s companies.
The latest funding round for Musk’s company comes at a time when he has taken a central role in the Trump administration’s efforts to reduce costs and jobs in the U.S. government.
While X has clearly benefited from Musk’s connection to Trump, shares of his Tesla have been experiencing a continuous decline as consumers have begun to avoid the electric vehicle manufacturer due to its political involvement.
However, back to X. Seven banks that assisted Musk in the acquisition of the then Twitter in 2022 have managed to collect the debt from this social network this year. With approximately 12.5 billion dollars, the company’s debt has been reduced to just over one billion dollars.
Additionally, Musk purchased more shares in the company from existing investors last year, and according to public filings from Kingdom Holding Company, a Saudi conglomerate and investor in X, Musk bought shares in the company worth 150 million dollars.
Returning to the original purchase price was a symbolic goal for Musk, who, after taking over the company, relaxed moderation rules on the platform, after which many advertisers left, reducing the revenue of this social network. In fact, in September of last year, one of the investors in X implied that the company’s value was less than 10 billion dollars.
However, some advertisers, such as Amazon, have recently increased their marketing spending on this platform precisely due to the deepening of Musk’s relationship with Trump, and financial companies are also showing greater interest. It is worth noting that X recorded revenues of 1.25 billion dollars in 2024, which is roughly equal to the figures from the period before Musk’s takeover.
Nevertheless, the market value of X significantly increased last year also due to Musk’s decision to grant investors in the company a stake in his artificial intelligence startup xAI. This startup is valued at as much as 45 billion dollars, despite being founded in 2023.
