Elon Musk Denies Reported Email Claiming X is "Barely Breaking Even"

 

Elon Musk has denied sending an email to X (formerly Twitter) employees claiming that the platform is "barely breaking even." According to a report from the Wall Street Journal, Musk reportedly expressed concerns about X’s financial challenges, such as stagnant user growth and unimpressive revenue, and that the company was struggling to achieve profitability. This came amidst news that banks were preparing to sell billions of dollars in debt borrowed by X to complete Musk’s acquisition in 2022.

In the email, Musk was reportedly quoted saying, "Our user growth is stagnant, revenue is unimpressive, and we're barely breaking even." The email also highlighted how the platform had influenced national conversations and outcomes, and noted that other platforms were beginning to adopt X’s commitment to free speech and unbiased truth.

However, Musk swiftly denied these claims, taking to X to publicly refute the report. "This report is false. I sent no such email. WSJ is lying," Musk wrote.

The Wall Street Journal also reported that bankers from Morgan Stanley reached out to investors in preparation for the sale of $3 billion in debt that X owes to various banks for the buyout. According to the report, some investors expressed interest in purchasing the debt, viewing X's financial position as improving, potentially due to Musk’s alliance with President Trump.

Despite Musk’s denial, concerns about X’s financial health remain prevalent. Since Musk’s takeover of Twitter, reports have shown a decline in the platform’s user base, with many users leaving for alternatives like Bluesky, particularly after the 2024 U.S. presidential election. Advertisers have also pulled back from X, with this trend expected to continue into the coming year.

Musk has been in the news for other reasons recently as well, including attending Trump’s inauguration on Monday and giving a controversial "Roman salute" during a speech, which only fueled further public scrutiny of his actions and alliances.

With financial struggles continuing and the company’s future uncertain, Musk’s vision for transforming X remains under close watch. While he remains determined to lead the platform forward, X’s path to profitability and growth will face increasing challenges as it navigates its ongoing struggles.