Elon Musk Tells Cathie Wood Legacy Media Declining, Doing What They Can For Clicks: 'Can't Entirely Blame Them'

Elon Musk took social media platform Twitter, now known as X, private for $44 billion in 2022.

While many have written Twitter off, Musk says the company is growing while legacy media declines.

What Happened: While X may not be valued at $44 billion, still for many of the investors who took part in the company's buyout, Musk highlighted the growth of the platform and its future.

Speaking on a Twitter Spaces with Ark Invest CEO Cathie Wood and other Ark leaders, Musk said the legacy media sector is declining and continues to do things for clicks, sometimes out of desperation.

"You can't entirely blame them," Musk said.

Musk added that in a shrinking pie for legacy media, desperate times call for desperate measures.

"X is actually growing traffic."

Musk said traditional media won't write a story or headline that they're losing the battle, while X is winning.

"I feel quite optimistic about the X platform."

Musk added that more has been done for the future progress of X in the last year than done at Twitter in the past five years.

Related Link: EXCLUSIVE: Cathie Wood Breaks Down $2,000 Tesla Price Target With Benzinga

What's Next: Wood acknowledged that she thought X was primarily for teens and celebrities before. Now, Ark Funds is using X as a key source to share information and gather information from expert sources.

Musk called X a social media collective group mind, where people can get information from experts in their fields or in the case of war zones, "in the field."

"You can just think of it as a giant brain," Musk said.

On X, Musk said the key is reporting information, consuming information and people giving their opinions on it.

Musk added that speed is very important, as is having the least amount of errors.

The key for X's growth going forward will be answering the question, "How do we get as many people as possible participating?" Musk added.  

Paying creators is one way X is adding value as is a focus on improving bots. Musk called bots and trolls a challenge.

"I think we've made great strides."

Small subscription amounts for new users are being used to limit the number of bots.

Musk predicted any social network that doesn't move in the direction of subscriptions "will be swarmed with bots and simply overwhelmed."

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