Elon Musk Seeks an Opportunity for a Second Attempt at X / Let's Mark an X Through it!
%20(1).jpg "Elon Musk Seeks an Opportunity for a Second Attempt at X / Let's Mark an X Through it!") |
| Elon Musk Seeks an Opportunity for a Second Attempt at X / Let's Mark an X Through it! (Image Source: theverge.com) |
Elizabeth Lopatto, an accomplished writer focusing on technology, finance, and human psychology, contributes her expertise as a journalist. Joining The Verge in 2014 as the science editor, she has a wealth of experience. Prior to this, Elizabeth served as a reporter at Bloomberg, honing her skills in covering various topics.
I can empathize with the strong desire to prove oneself right, and that's why I can somewhat understand Elon Musk's ambitious yet misguided plan to rebrand Twitter and transform it into a powerful financial entity, a dream he has had for a long time.
However, history has shown that his previous attempt to rename PayPal and create an internet banking startup back in 2000 was not successful, and the current venture seems unlikely to succeed either. Nevertheless, Musk remains determined to showcase his vision.
Musk has expressed his intention to rename Twitter as 'X,' evident by the change in the app's logo to a Unicode X. Interestingly, there's a connection between Musk and the letter X; it was during a past disagreement with Peter Thiel that led to Musk's departure from PayPal, where he proposed a name change for the platform. The exact name he suggested might surprise you.
In 1999, Musk launched X.com, an early venture that shares similarities with his current endeavors involving the artist formerly known as Twitter. X.com aimed to offer electronic payments, checking accounts, stock trades, and mutual funds, resembling aspects of modern-day payment platforms like WeChat.
For all latest news, follow Top Headline News Google News channel
The company faced significant financial losses and later merged with Thiel's Confinity, another struggling company that had developed PayPal. Musk assumed the role of CEO after the merger, but Thiel's key team members, including David Sacks, remained influential.
Musk envisioned rebranding PayPal as X, despite customer surveys advising against it. This decision led to a coup, orchestrated by Sacks and others, to remove Musk from the leadership position, as recounted in Eric M. Jackson's book "The PayPal Wars."
Sacks' choice to prevent the X rebranding was a wise move, recognizing the importance of strong branding for consumer products. However, it's intriguing how Twitter recently underwent a rebrand, even though Sacks, who is currently a VC, podcaster, and aspiring political influencer, likely understands the significance of effective branding.
In an intriguing twist, my acquaintance and occasional drinking companion, Casey Newton, posits the X rebrand as an indirect way to dismantle Twitter. While I acknowledge the hint of cultural vandalism, I don't entirely agree with this interpretation.
It appears Musk may not have initially intended to acquire Twitter, but once he found himself entangled with it, he sought to address some unresolved matters.
Regrettably, Musk's foray into running a social media company has been fraught with challenges. His changes in moderation, such as allowing controversial figures like Donald Trump and white supremacists, along with a conspiracy theorist sharing inappropriate content, have driven advertisers away.
Twitter's primary income source was heavily reliant on them before Musk's acquisition. The aftermath has triggered a fire sale on Twitter ads, with brands fearing association with objectionable content.
Additionally, Musk's threat of revoking verification from brands not meeting certain spending criteria further added to the turbulence.
Consequently, Twitter's already modest success has reached a new low under Musk's stewardship. Seeking a fresh direction, Musk now looks towards his area of expertise: digital payments. Considering PayPal's success, despite his involvement, he believes digital payments hold promise.
Musk's ambitions for a payment app have been a fascination in Silicon Valley, akin to China's WeChat's triumph. These so-called 'super apps' combine the functionalities of Twitter, Instagram, Slack, Venmo, and banking applications.
It's evident why such dominance appeals to the tech elite, as wielding such an app translates to considerable power. For them, wealth merely serves as a metric for their influence.
In the realm of technological advancements, banks, including the Federal Reserve through FedNow, have shown remarkable progress in the US, surpassing other parts of the world where super apps gained prominence. Among these banks, JPMorgan Chase stands out as a significant player in the tech landscape.
However, a major hurdle for super apps in the US lies with app stores like Google and Apple, which charge fees for digital transactions. This dynamic makes it possible to buy cat litter on the Amazon app but not an ebook.
The cooperation of these app stores is critical for the success of any super app, yet it remains uncertain due to potential competition with Google Pay and Apple Pay, raising antitrust concerns.
The recent hasty rebrand and acquisition of the @X handle indicate a disorderly approach to pursuing the super app dream. This approach aligns with Elon Musk's tendency to push ideas onto reluctant users, reminiscent of his efforts during his PayPal days. Despite lessons from past experiences, Musk's introduction of Twitter Blue failed to address users' needs effectively.
To succeed, a service should genuinely cater to users' desires rather than merely removing familiar features and charging for them. The rushed transformation into X may also deter potential customers from trusting Musk with their banking needs.
In my bank, I expect consistent service without abrupt changes, minimal service outages, and no random fees. Additionally, I want assurance that white supremacists are not associated with it, and verification should not be overly difficult to manage. Spam and fraud should be strictly prevented.
Watching Musk make rapid and significant public changes raises concerns, especially given his handling of even simple tasks like changing the Twitter office sign without proper permits. The new X sign also faced scrutiny due to its hasty execution and subsequent removal.
Throughout history, banking has seen various financial misconducts, leading to regulatory measures. However, the rise of cryptocurrencies attempts to avoid such regulations, resulting in an array of issues like hacks, exploits, fraud, and money laundering.
Banking's strict regulations exist for a reason, as they build trust within the financial system. Musk's approach to regulations and social responsibilities, as seen at Twitter, raises questions about his suitability to be trusted with people's money.
%20(1).jpg&description=Elon Musk Seeks an Opportunity for a Second Attempt at X / Let's Mark an X Through it!){kind=link}
0 Comments