Now Twitter is gone. Don't look for Twitter anymore.
The logo of Twitter, a social media company, is reflected on the screen of the New York Stock Exchange. Elon Musk, an American eccentric executive, has once again caught the public eye with his out-of-the-box remarks.
He uploaded only one letter "X" on his Twitter account without any explanation, causing many people curiosity. The Twitter Inc TWTR has sparked the imagination due to Elon Musk's gimmick, which doesn't know where it's going to pop. Elon Musk's tweet views, which have such a huge market impact, reached 35 million in 15 hours, reflecting his great interest.
Here's the conclusion of this random Twitter. Twitter, a global SNS service that is especially popular in the United States, is no longer available.
Are you saying Twitter is shutting down or something? Here's the thing.
Twitter was merged into Special Purpose Company (SPC) 'X' last month. X is a company created by current Twitter CEO Elon Musk with a capital of $2 million last month. A special purpose company is a company created for a special purpose and aims to run a company lightly and start a new business separately from the existing parent company. Of course, there is a negative view that it is created for tax evasion or tax evacuation.
Twitter's winning move to X
What's Elon Musk up to this time? In the U.S., Elon Musk's X will aim for an "everything app," or an app that can do everything.
X, as you know, is a symbol for an unknown number in mathematics. Or the answer that you need to solve a complex problem. In other words, it is also a provocative company name that Elon Musk, who chose X, which can be an unknown and correct answer, seems to be asking the public what the answer to the unknown is.
The identity of company X was confirmed by a lawsuit filed by social activist Laura Rumour against Twitter founder Jack Dorsey and Twitter. Last month, Elon Musk sent an internal email to Twitter employees saying he could receive shares of X. A recent court filing confirmed that Twitter was officially merged into X and that the company name Twitter no longer exists. In other words, there's only a company called X now.
Industry experts expect X to play a role as a platform service that encompasses life, such as WhatsApp in China. In Korea, Naver and Kakao started with portals and SNS services, respectively, but now they are fiercely competing with comprehensive service apps that encompass all life, including transportation, finance, shopping, and search. Elon Musk appears to have thrown a winning move into changing his mission, dreaming of expanding Twitter's acquisition to a comprehensive service app rather than just providing SNS services.
The problem is that it remains to be seen whether this change of mission will be a trick or a handshake. This is because it may not be easy to completely give up the brand image and strength as an SNS that Twitter has accumulated so far and be reborn as a new service.
The meta-platform is a case in point for those who are concerned about this transformation. Facebook, founded by Mark Zuckerberg, will carry out innovations to change the company's name from Facebook to Meta in 2021. There may be many reasons, but at a time when growth has stopped due to the saturation of the SNS market, Zuckerberg, who is doomed to discover new foods, paid attention to the new technology called "Metaverse" as a breakthrough.
In other words, it is an expression of ambition to secure leading technological competitiveness in the metaverse market, which is just beginning, and to dominate the market. He raised money on Facebook, but he threw a winning move as he showed limitations in technology competitiveness. Amazon is a cloud service called AWS, and Microsoft's expansion into an industry that is different from the underlying industry that has grown the company, such as securing competitiveness in the subscription SW model and game industry, is an essential fate for corporate quantum jumping.
In particular, Facebook's anxiety, which has grown in the social media industry without substance unlike hardware companies such as Apple and Samsung Electronics, has led to a challenge to a completely new area called Metaverse. In the field of VR headsets, a hardware device in the industry, Facebook acquired Oculus to secure competitiveness among hardware companies.
But the problem is that the growth of the metaverse industry has not lived up to these meta expectations. To expand the metaverse ecosystem, core content must be produced and platforms and hardware equipment to consume it must be distributed, but the speed was slow and insufficient.
Meta also struggled to build this ecosystem, but the related team, which eventually fell into a money-eating hippo, is facing a de facto suspension, with either being lifted or fewer employees. In addition, even Apple, which was expected by Meta to announce the release of VR devices, has delayed the launch of Apple's VR devices, making it even worse.
The problem is that Meta, which has changed its mission and made a drain, is now in a situation where there is no way to do this or that. Of course, Facebook is still supported by Cash Flow from the world's No. 1 SNS, but Meta, which has failed to set the stage for growth to the next level, does not see a sharp trick. In addition, blockchain technology and NFT-related industries, which were expected to develop along with the growth of the metaverse market, have also stopped growing, and Meta has stopped related businesses.
Square, which gained popularity in the U.S. with its simple payment service, also changed its name from Square to "Block" in December 2021, declaring an all-in to the blockchain market. However, along with the global macroeconomic crisis, the collapse of cryptocurrency markets such as Bitcoin has come, and it is affecting blocks that have changed their brands. In particular, the industry points out that excessive policies and winning moves pushed to all-in on excessive investment in future industries could be a self-winner.
Musk's love for X, will it pay off? Interestingly, Elon Musk's love for X is observed in many places. Space X, a space development company operated by Elon Musk, also has the alphabet X. As Tesla also has Model X, it remains to be seen under what big picture Twitter's transition to X will move under.
Google also failed to cope with its growing size and created Alphabet, a holding company, and chose a strategy to focus on management by affiliates. What kind of blueprint does X, one of these alphabets, bring out Elon Musk's imagination? Twitter's transformation, where expectations and concerns coexist, makes me curious about the results.
Edited by Palak Chauhan
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