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Author Topic: Is the fall of Elon Musk's empire imminent?  (Read 681 times)
alani123 (OP)
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October 19, 2023, 07:56:07 PM
 #1

There's a lot of talk that Elon Musk taking on huge loans to buy Twitter could backfire massively on him as Twitter keeps losing value. Essentially what Elon Musk did was to use up most of his assets in terms of stock like Tesla and SpaceX to try and secure assets for his twitter loan. He's now so tied up in this Twitter debt, that if something goes wrong it could trigger a domino of effects. 

So he essentially already pledged tons of money to secure loans to buy Twitter, but his executive decisions lead to massive drops in value. Late last year he posted a lot of Tesla shares to avoid a margin call from banks that had loaned him to buy Twitter but this could potentially mean that if Tesla shares fall in price also, Musk could be losing his empire... Eventually, and potentially if things go wrong, losing his position as CEO in both Twitter as well as Tesla.

What are your thoughts on this? Is Musk about to lose it all?

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October 19, 2023, 08:16:40 PM
 #2

I don't think so, having a back up with several companies could still help it to get up whenever it's being seen about to fall. But there is no doubt that he's done a lot of bad decisions and call out with this acquisition of Twitter.

He's got a plan on it that we don't know, maybe there really is.

There's another news[1] again that they'll charge $1 for new users from New Zealand and Philippines. This is gonna prove that users aren't bot because the platform is mostly used for propaganda, trolls and bots.

[1] X will start charging new users in two countries $1 per year

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October 19, 2023, 08:33:57 PM
 #3


He's a billionaire. Twitter was just less than a billion and he is a BTC investor who is also fighting against the SEC, we're not seeing him fall. If anyone sees the first his Tesla price is falling, it's him. and He may have done something already before that happened. Since he is a BTC investor as well, he could be taken advantage of all these too.

But he folds by the way when the EU threatened his Twitter to be blocked in the region. Not so much of a rebel that he wants to portray.


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October 19, 2023, 09:04:01 PM
 #4

Musk is not new to these things. He will find a way. I feel these problems are a little bit exaggerated. These are problems that arise from time to time in a business, especially for a corporation as big as Musk's.
I'm not a fan of his handling of Twitter but I think it's doing just fine and he's introducing different innovations to keep the app at the top.
The worst that can happen is, that he'll sell off Twitter at a loss, nothing like losing his empire.

Right now two countries would have to pay $1 to use X. This is just the testing period of that initiative. If it works that's a dollar a year from about 40m people. That's a lot of money.
Musk is a proud man so I don't see him losing his CEO status and he's also a smart man, so he'll find a way.
There's no big deal.

R


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October 19, 2023, 09:24:46 PM
 #5

As they say above, x=/0, that is, there is no sale value at this moment because such a thing is not in the plans, so its shares are in the normal fluctuating range.

I remember that WhatsApp had the premise of $1 in some countries, but in the long run it never happened, Elon is doing what he does best "noise".

If you are in the media it is free advertising, so he knows it well, I think that "x" still has a lot of work ahead of him. In the future he will surely stop being the main face and will give that position to someone else, moving to the board of directors and leaving office.


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October 19, 2023, 09:34:45 PM
 #6

I don’t think so, he’s one of the smartest guys in the world. Everything he does is meticulously planned, I don’t think he is remotely close to seeing his house of cards tumble down. Don’t forget TESLA is propped up by government subsidies. Twitter (X) will turn into a profitable business I’m sure.

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October 19, 2023, 09:41:43 PM
 #7

The fall of Elon's empire—you mean, do you mean he totally will go bankrupt? I believe Elon is a good entrepreneur who knows how to play in his field. There could be other assets or investments he still had that he might not have made known to anyone. If probably Twitter crashes and is not able to generate the capital he invested in it, whatever it has cost him to acquire Twitter, I believe he can still be able to regain it within some time of generating profit from other of his investments and his company. Although there is nothing very impossible, it's possible that he can lose the CEOship of his company, but that cannot easily be possible.

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October 19, 2023, 09:44:10 PM
 #8

There's a lot of talk that Elon Musk taking on huge loans to buy Twitter could backfire massively on him as Twitter keeps losing value. Essentially what Elon Musk did was to use up most of his assets in terms of stock like Tesla and SpaceX to try and secure assets for his twitter loan. He's now so tied up in this Twitter debt, that if something goes wrong it could trigger a domino of effects.  

So he essentially already pledged tons of money to secure loans to buy Twitter, but his executive decisions lead to massive drops in value. Late last year he posted a lot of Tesla shares to avoid a margin call from banks that had loaned him to buy Twitter but this could potentially mean that if Tesla shares fall in price also, Musk could be losing his empire... Eventually, and potentially if things go wrong, losing his position as CEO in both Twitter as well as Tesla.

What are your thoughts on this? Is Musk about to lose it all?

It would be nice to see him fall apart and decide to hang himself. But it is not likely as he is in the too big to fail area.

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October 19, 2023, 09:47:36 PM
 #9

I don't think so, having a back up with several companies could still help it to get up whenever it's being seen about to fall. But there is no doubt that he's done a lot of bad decisions and call out with this acquisition of Twitter.

He's got a plan on it that we don't know, maybe there really is.

There's another news[1] again that they'll charge $1 for new users from New Zealand and Philippines. This is gonna prove that users aren't bot because the platform is mostly used for propaganda, trolls and bots.

[1] X will start charging new users in two countries $1 per year

With the rise of many social media platform and competition, this $1 charge for new users seems brilliant but it would impose negative affect in the end.  People don't like being charged so people might look for an alternative so this might reduce new registration to the platform.

X former twitter might suffer the same fate as Friendster but I also do not think that Elon Musk's empire will fall.  As stated Elon Musk's asset is way bigger than twitter, so Elon can easily pay it off but obviously as a businessman, Elon want to pay his loan without touching his money thus he solve it by selling some shares of his company which possibly provide him more profit.
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October 19, 2023, 09:53:37 PM
 #10

I don’t think so, he’s one of the smartest guys in the world. Everything he does is meticulously planned, I don’t think he is remotely close to seeing his house of cards tumble down. Don’t forget TESLA is propped up by government subsidies. Twitter (X) will turn into a profitable business I’m sure.
Undoubtedly one of the smartest indeed, Elon musk is not novice to all these shenanigans and him being the number one richest man in the world is not for nothing, Elon musk is very powerful and influential when it comes to the crypto space and if he is ever getting broke he can probably use it as an advantage because I believe there are some certain things he can say or post that will move the market to his favor.


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October 19, 2023, 09:55:38 PM
 #11

There's a lot of talk that Elon Musk taking on huge loans to buy Twitter could backfire massively on him as Twitter keeps losing value. Essentially what Elon Musk did was to use up most of his assets in terms of stock like Tesla and SpaceX to try and secure assets for his twitter loan. He's now so tied up in this Twitter debt, that if something goes wrong it could trigger a domino of effects. 

So he essentially already pledged tons of money to secure loans to buy Twitter, but his executive decisions lead to massive drops in value. Late last year he posted a lot of Tesla shares to avoid a margin call from banks that had loaned him to buy Twitter but this could potentially mean that if Tesla shares fall in price also, Musk could be losing his empire... Eventually, and potentially if things go wrong, losing his position as CEO in both Twitter as well as Tesla.

What are your thoughts on this? Is Musk about to lose it all?

In my personal thought about this, Elon Musk knows what he is doing, he might not become a billionaire if he is not good at thinking and strategizing. If in the eyes of others what he is doing is wrong, so be it, but at the end of the day, Elon Musk's plan will still exist and will be followed, not what others say.

If he did something, for sure he knows the risk that he will face, Musk is a billionaire man and at the same time he is also a risk taker, so such actions are not new to him to be honest. Trust me in the end he will solve it better.

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October 19, 2023, 10:07:52 PM
 #12

I wouldn't say "imminent", I mean he made a bad bet with twitter there is no doubt about that and losing money left and right but there is no argument that he can't make it back, so there is still some time to recover that if he wants to, and if he puts the sources into it to save it, I am sure that he has enough money to save it and make it go on for a long time and then combine it with something else that he has. However, even if Twitter ends up bankrupting and being sold to another company for a small amount and he makes a loss, we can easily say that tesla alone would be enough to make him keep going and that's the most important part of his wealth, which doesn't seem like slowing down anytime soon.

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October 19, 2023, 10:15:48 PM
 #13


He's a billionaire. Twitter was just less than a billion and he is a BTC investor who is also fighting against the SEC, we're not seeing him fall. If anyone sees the first his Tesla price is falling, it's him. and He may have done something already before that happened. Since he is a BTC investor as well, he could be taken advantage of all these too.

But he folds by the way when the EU threatened his Twitter to be blocked in the region. Not so much of a rebel that he wants to portray.
This billionaire attachment to his name for an abstract value that is only in the stock market of his company is a distraction and confusion. Unfortunately, I dont think he will be able to defend his position as the CEO of the company making entrerprising decision for the company as twitter gets more unattractive to users.

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October 19, 2023, 10:49:47 PM
 #14

Good. If that happens then Twitter might have a fighting chance at another revival.

Elon-hating aside though, I don't think he's going to lose his empire per se. He's too big to fail now, and as long as his stepping down on both these companies doesn't force him to lose all of his equities and shares in these companies I'm positive he's still going to live comfortably. The bad bet he made on Twitter is already taking its course and he's making the people that's not even responsible for it pay. Imagine having to pay for a "once-free social media application, that's just what he's making you do now with Twitter. Tesla isn't doing any better with all these allegations and backlash targeted at the safety features of his vehicles and the viability of autopilot. So yeah things are going to suck for him from here on out if he doesn't do anything.
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October 19, 2023, 11:02:14 PM
 #15


He's a billionaire. Twitter was just less than a billion and he is a BTC investor who is also fighting against the SEC, we're not seeing him fall. If anyone sees the first his Tesla price is falling, it's him. and He may have done something already before that happened. Since he is a BTC investor as well, he could be taken advantage of all these too.

But he folds by the way when the EU threatened his Twitter to be blocked in the region. Not so much of a rebel that he wants to portray.

I agree with what you said that he is a figther. That is true; there is probably no billionaire like him who is not a figther. Musk is a smart businessman, and being a risk-taker, he will not allow himself to lose because he is a real businessman.

Apart from that, he is the type of person who will not allow himself to be defeated. Maybe in the eyes of others, his judgment is wrong, but in the end, they will see that Musk is still the one who will benefit a lot from the truth. In short, he still has the last laugh. Just being a Bitcoin holder cannot be imitated by an ordinary person.


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October 19, 2023, 11:17:05 PM
 #16

I'm pretty sure he can sustain his losses with Twitter for some time, but eventually they will become so massive that he'll have to sell it. But I don't see how it can bankrupt him, he's crazy rich from Tesla and SpaceX. As long as those companies are profitable, he is too big to fail. And he is not managing them like he manages Twitter. Twitter is just his toy that he impulse-bought just because he could.
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October 19, 2023, 11:21:06 PM
Last edit: October 19, 2023, 11:31:09 PM by AmoreJaz
 #17

I'm pretty sure he can sustain his losses with Twitter for some time, but eventually they will become so massive that he'll have to sell it. But I don't see how it can bankrupt him, he's crazy rich from Tesla and SpaceX. As long as those companies are profitable, he is too big to fail. And he is not managing them like he manages Twitter. Twitter is just his toy that he impulse-bought just because he could.

i have the same sentiments as well, and those mentioned companies are not only his companies. do remember he has The Boring Company, Neuralink just to name a few. and he has others. so one fall of one company would not dictate his fall.
and before one company would go bankrupt, do we really think that elon will just be sitting around seeing his company fall? he is a businessman, and he got his wealth because of his dispositions in life. so who are we to judge what will happen to his companies, right?

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October 19, 2023, 11:24:36 PM
 #18

I thought he's already made some profit through taking advantage of twitter paid badge and also yearly membership which is about to arrive.
he definitely has already have some idea about how to utilize twitter and get money out of it the first day he thought about buying twitter.
elon I can be sure already has plan up his sleeve that i don't think he will just goes bankrupt like that.
but we honestly don't know what is the real financial situation that elon is facing, they said he's tangled up in twitter debt but certainly all these years he has accumulated some money that I think he won't be that tangled up into the debt, its all still unclear.

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October 20, 2023, 02:00:45 AM
 #19

Just read that Tesla stock is going down because Musk said that Cybertruck production isn't going to be speed up, and investors doesn't like that, https://www.wsj.com/livecoverage/stock-market-news-today-10-19-2023/card/tesla-stock-falls-after-elon-musk-tempers-expectations-for-cybertruck-XuuwCPq1IcHJpJdUfASk

But in general I don't think Musks Companies, all of them will go bankrupt anytime soon. He has so many companies, not only the famous ones like Twitter, SpaceX, and Tesla, he also has OpenAI, Neuralink, etc. Most of them has survive the pandemic and economic downturn. He might sell one or two of his companies, but I doubt he will sell all of them.

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October 20, 2023, 02:30:55 AM
 #20



What are your thoughts on this? Is Musk about to lose it all?

He is one of the youngest richest billionaires in the world that we have ever had and it is not because of luck that he has, it is a process of his efforts. You're underestimating him if you think Twitter's failure will cause Elon's empire to collapse.
As for Twitter, it's true that it's been in a bad spot since Elon took over but that doesn't mean it's going to die or disappear anytime soon. Elon is completely changing Twitter and everything in less than a year so it is difficult to confirm anything about the future of this social network. We need more time to more accurately assess its future.

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