4 ms·
Idk. Everybody made fun of Elon buying twitter but the spin-off from it (X.ai) was valued enough to buy the original company. We'll need to wait a bunch of mo
by lesuorac 1y ago
Idk.
Everybody made fun of Elon buying twitter but the spin-off from it (X.ai) was valued enough to buy the original company.
We'll need to wait a bunch of more years to see if the 23andme concerns were unfounded.
- mgiampapa 1y agoThose are all paper transactions with made up numbers. You need outside money coming in from sane investors for the numbers to mean things.
- next_xibalba 1y agoHuh? Both the acquisition of Twitter and the ongoing capitalization of X.ai involved real outside money from external investors.
- mgiampapa 1y agoThe sale of X to X.ai at the end of march was not an arms length transaction.
- lesuorac 1y agoFidelity isn't a sane investor? Crucial X.ai bought out X with a minority of stock. X.ai as in the thing spun out from X to do ai using X's data. Fidelity seems to value X.ai enough to be happy to have gotten more shares of it using the X shares. I swear if OpenAI happened like 1 year prior to the twitter sale then everybody would have a different opinion about 44 Billion being the correct price for twitter.
- mgiampapa 1y agoExisting investors can be onboard with the possibility of an exit even if it's less than their investment. From Fidelity's perspective they have a pile of money burned in a fire. Turning the ashes of that pile into what might be a swing for the fences or any type of exit at all is attractive. Also, sometimes good money follows bad to hedge against taking a larger loss on paper and in this case buying favor might get them access to another deal like SpaceX. None of it feels above board, an efficient market in action, or sane from most perspectives.