Twitter, the social media platform, no longer exists as a company. Instead, it has been merged into a new entity known as X Corp. This development came to light in a recent court filing where Twitter, now a defendant in a lawsuit by right-wing provocateur Laura Loomer, provided notice that it no longer exists as a corporate entity. X Corp is now the successor in interest and has become the defendant in Loomer's suit. The parent corporation of X Corp is identified as X Holdings Corp.
Elon Musk, who owns both Twitter and X Holdings Corp, has not yet revealed the merger to the public. However, it appears to have been on his mind since he first plotted his purchase of the social media company. In April 2022, Musk registered X Holdings I, II, and III in Delaware, three separate companies designed to facilitate his purchase of Twitter. According to the deal, Twitter would merge with X Holdings II but keep its name and general corporate structure while continuing to operate under Delaware law. X Holdings I, controlled by Musk, would then serve as the merged entity's parent company, while X Holdings III would take on the $13 billion loan that a group of big banks provided Musk to help cover the $44 billion purchase.
The current development of X Corp is where things get interesting. According to the Nevada secretary of state's online business portal, Musk registered two new businesses in the state on March 9: X Holdings Corp. and X Corp. Then, on March 15, Musk applied to merge those Nevada businesses with two of his existing companies: X Holdings I with X Holdings Corp., and Twitter Inc. with X Corp. In the latter's case, the articles of the merger mandate that X Corp. fully acquire Twitter—meaning that, for all intents and purposes, "Twitter Inc." no longer exists as a Delaware-based company. Now it's part of X Corp., whose parent company is the $2 million X Holdings Corp. And that means X Holdings I no longer exists, either. Both X Holdings Corp. and X Corp. now fall under Nevada's jurisdiction instead of Delaware's.
Elon Musk has long been attached to the letter X, even outside of his kids' names. In 1999, he founded X.com, an online bank that soon merged with another company to become PayPal. The letter appeared in other business ventures over the years: SpaceX, Tesla's Model X car, the three X Holdings corporations, and "Project X," the official SEC-recognized name for the Twitter purchase's $13 billion bank loan. After completing the Twitter takeover in October, Musk claimed this purchase would "accelerate" the creation of an "everything app" that would be named—you guessed it—after the letter X. Such a "super app," Musk has stated, could resemble something like China's WeChat, the combination messaging/social networking/payment app that boasts a billion users; Twitter's functions would play an important role in this megasize app.
It's also possible that X is meant to be more of an everything company than an everything app. In late 2020, YouTuber and longtime Tesla investor Dave Lee tweeted that Musk should "form a holding company called X" to serve as the "parent company of Tesla, SpaceX, Neuralink and Boring Company." (Musk's response: "Good idea.") In that light, Musk's choice of Nevada as home base for X Corp. takes on extra significance, considering the entrepreneur has established some of his largest ventures in the Silver State.
However, Musk's X faces a difficult future. A now-tech-skeptical Congress would undoubtedly cast a close eye over an American version of WeChat, as would regulatory agencies like the Federal Trade Commission now taking a firmer stance against tech monopolies. Moreover, investors may not be pleased if Musk attempts to integrate each of his separate companies into X Holdings Corporation. For the time being, his Twitter account is likely to attract more scrutiny, making the X logo on the platform even more appropriate.
The transformation of Twitter into X Corp is a significant development that raises questions about the future of social media and technology companies. The move also reflects Musk's ambitions to expand his business empire and create an all-encompassing super app.
Twitter has been at the center of many controversies in recent years, including accusations of censorship and political bias. Its decision to ban former President Donald Trump from the platform in the aftermath of the Capitol Hill riot in January 2021 sparked a fierce debate about the role of social media in shaping public opinion.
The merger with X Corp may offer Twitter a fresh start and a chance to rebrand itself under a new name and corporate structure. However, it remains to be seen whether this move will address the underlying issues that have plagued the platform in recent years. Twitter's success as a social media company has always been closely tied to its ability to connect people and promote free expression. Any attempt to limit these freedoms could undermine the company's reputation and alienate its user base.
At the same time, Musk's decision to create an everything app raises questions about the future of technology and the role of tech companies in society. Musk has been a vocal advocate of artificial intelligence and has expressed concerns about its potential to disrupt society if not properly regulated. His vision for an all-encompassing app that combines messaging, social networking, and payment features could transform the way we communicate and interact online.
However, this vision also raises concerns about privacy and data security. An everything app that consolidates all of our digital interactions into a single platform would be a tempting target for hackers and cybercriminals. It would also raise concerns about the concentration of power in the hands of a few tech companies and their ability to shape public opinion.
In conclusion, the merger of Twitter into X Corp is a significant development that reflects Elon Musk's ambitions to create an all-encompassing super app. The move raises important questions about the future of social media and technology companies and their role in society. While the X logo on Twitter may signal a fresh start for the platform, it remains to be seen whether the underlying issues that have plagued the company in recent years will be addressed. As Musk's vision for an everything app takes shape, it will be important to consider the potential risks and benefits of consolidating all of our digital interactions into a single platform.