Tech’s Revolving Door of Layoffs Shatters Worker Trust

Once a beacon of stability and lavish perks, the tech industry is now a minefield of layoffs, leaving workers disillusioned and employers scrambling to retain talent. In the past week, Meta Platforms Inc., Workday Inc., and OpenText Corp. joined a parade of firms cutting thousands of jobs—over 6,500 since February 13—adding to a 2025 toll exceeding 10,800. Repeated downsizings, often paired with soaring profits, have “severed trust” between tech workers and their bosses, as employees question the loyalty once taken for granted in Silicon Valley.

A Relentless Cycle of Cuts

The latest salvo began February 10, when Meta axed 3,600 jobs—5% of its workforce—targeting “low performers,” according to CEO Mark Zuckerberg’s memo, reported by Bloomberg. Workday followed on February 12, slashing 1,750 roles to fund AI initiatives, while OpenText cut 1,200 on February 13 to trim costs. Alphabet Inc.’s Google offered voluntary exits in its Platforms & Devices unit, and Microsoft Corp., Salesforce Inc., and Amazon.com Inc. pruned staff across divisions, from underperformers to sustainability teams. Salesforce’s over-1,000 cuts came even as it hires for AI roles, per company statements.

This isn’t a one-off. Meta’s latest purge follows a December 2024 cut of 5%, part of a 24,000-job reduction since 2022. Amazon aims to shed 14,000 managerial roles by spring, and Intel Corp.’s 15,000 layoffs last year remain a stark benchmark. On X, @JimJeffery11 dubbed it “private-sector ruthlessness,” a sentiment echoing through posts as workers lament the shift from tech’s cushy past.

Why Trust Is Fracturing

The erosion stems from a toxic mix of broken promises and cold pragmatism. Tech workers, lured by free meals and stock options, once saw their employers as partners in a grand mission. Now, they’re expendable. “I don’t trust employers anymore,” Eliot Lee, a 52-year-old project manager laid off multiple times, told The Washington Post last week. His story resonates: despite glowing reviews, workers at Meta and elsewhere find themselves blindsided, venting on X about “sudden betrayals.”

Profits only deepen the rift. Meta’s stock rose 3% post-layoffs, and Microsoft boasts a $3 trillion valuation, yet cuts persist. X user @CPA_jjones on February 19 framed it as “remixing staff for efficiency,” not necessity—a view bolstered by a World Economic Forum survey predicting 41% of firms will shrink workforces due to AI within five years. Companies tout AI and cost-cutting, but employees see greed. “They’re thriving, yet we’re disposable,” tweeted @gamefrenza on February 15.

Transparency—or its absence—fuels the fire. Google’s voluntary exits and Meta’s performance purges lack the decorum of past “restructurings,” as @gkcs_ noted on X. Workers feel like cogs in a machine, a far cry from the “family” rhetoric of the 2010s.

The Human Toll

The fallout is palpable. A Washington Post report on February 10 cited studies showing repeated layoffs erode morale, stifle innovation, and push survivors to disengage. Meta staffers, some axed despite high ratings, flooded social media with disbelief, per posts tracked this week. “Trust is gone,” one anonymous employee wrote on X, echoing a broader sentiment: 60% of laid-off techies distrust future employers, per a 2023 Tech.co survey still relevant today.

The job market offers little solace. While IT and finance hiring ticks up, per @CPA_jjones, competition is fierce—over 1,000 applicants vie for single roles, Lee noted. Daelynn Moyer, 55, laid off from Indeed last year, has applied to 140 jobs without success, contemplating a farming pivot, per the Post. Visa holders like Chicago-based engineer Mittal face deportation if unhired within 60 days, adding urgency to the chaos, per CNBC.

Employers Feel the Heat

Companies aren’t immune. Distrust breeds turnover—remaining staff quietly quit or jump ship, as Patrick McAdams of recruiting firm Andiamo told the Post. Innovation suffers when fear replaces boldness, a risk for an industry banking on AI breakthroughs. On X,

@NewstalkZB speculated Meta’s cuts “make way for AI,” but at what cost? Firms like SAP SE and PayPal Holdings Inc., launching AI-driven platforms this week, may outpace rivals slow to adapt, yet talent wars loom if workers balk at instability.

Tech’s cultural shift compounds the problem. Gone are the Lizzo concerts Google once hosted, per a 2022 WSJ piece; now, desk-sharing and austerity rule. “Efficiency over ethics,” @gamefrenza quipped in Spanish and English, capturing a global view of tech’s new ethos.

A Path Forward?

The bleeding may continue—45% of U.S. managers foresee AI-driven cuts this year, per a recent business study. Yet glimmers of resilience emerge. Pulsant’s UK data-center expansion and Bharti Airtel’s subsea cable, announced this week, signal infrastructure bets. Hiring persists in AI niches, and startups like Monomi Park are scooping up Big Tech castoffs, per a 2022 WIRED note still relevant.

For workers, upskilling is survival. Amber Adamson, laid off from Covetrus, is honing coding skills, per a 2023 Washington Post story echoing today’s reality. Employers must rebuild trust—transparency, not platitudes, is key. As Samaraweera, ex-Jellysmack, told NBC last year, “Tech doesn’t seem safe anymore.” In 2025, that’s the industry’s stark truth—and its urgent challenge.

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Tech Giants Slash Jobs as AI and Efficiency Take Priority

Major technology companies are shedding thousands of jobs in a fresh wave of layoffs, signaling a strategic pivot toward artificial intelligence and leaner operations amid economic headwinds. In the past week alone, Meta Platforms Inc., Workday Inc., OpenText Corp., and others have announced cuts affecting over 6,500 workers, part of a broader 2025 trend that has already seen more than 10,800 tech jobs vanish. Behind the numbers: a race to integrate AI, appease investors, and sharpen performance in an industry once defined by rapid growth.

A Week of Workforce Reckoning

Meta kicked off the latest round, notifying some 3,600 employees—5% of its workforce—on Feb. 10 that their roles would end. Chief Executive Mark Zuckerberg called it a move to “raise the bar” on performance, targeting low performers in a blunt internal memo. The cuts, reported by Bloomberg, follow a December reduction of equal size, bringing Meta’s total layoffs since 2022 past 24,000.

Workday, a leader in human-resources software, followed on Feb. 12, axing 1,750 jobs, or 8.5% of its staff. CEO Carl Eschenbach tied the decision to a push into AI, aiming to redirect funds from legacy roles to high-growth bets. OpenText, meanwhile, disclosed plans on Feb. 13 to eliminate 1,200 positions, citing cost efficiencies as investor pressure mounts.

Elsewhere, Alphabet Inc.’s Google unit rolled out a voluntary exit program for its Platforms & Devices team, offering U.S. employees severance to depart, a shift from traditional layoffs. Microsoft Corp., Salesforce Inc., and Amazon.com Inc. also trimmed staff this month—Microsoft targeting underperformers, Salesforce cutting over 1,000 while hiring for AI roles, and Amazon paring its communications and sustainability units as part of a broader plan to shed 14,000 managerial jobs by spring.

Why Now?

The drivers are clear: AI is reshaping tech’s labor landscape. Companies are slashing headcounts to fund automation and machine-learning initiatives, with Workday and Salesforce explicitly linking cuts to AI investment. A World Economic Forum survey projects 41% of firms will shrink workforces due to AI within five years—a future arriving early in 2025.

Economic realities bolster the case. Despite a strong U.S. jobs report showing 353,000 new positions in January, tech firms face demands for profitability. OpenText aims to save millions annually, while Amazon’s cuts align with a goal to trim billions in costs. Performance, too, is under scrutiny: Meta and Microsoft are culling weaker contributors, signaling a meritocratic turn.

Strategic realignment rounds out the picture. Google’s voluntary exits and Salesforce’s dual cut-and-hire approach reflect a shift toward AI and cloud priorities. Nokia Corp.’s leadership handover this week to Justin Hotard, an infrastructure-focused executive, hints at similar moves ahead.

The Fallout

The cuts are rattling tech’s workforce. Employees at Meta voiced shock on social media, with some high performers caught in the crosshairs, eroding trust after years of layoffs. A Washington Post analysis warns of stifled innovation as morale dips—a risk for an industry reliant on creativity.

The job market is splitting: AI-savvy workers find opportunities, while others face obsolescence. Hiring persists in IT and finance, but the Economic Report of the President estimates 10% of U.S. jobs are vulnerable to AI disruption. Competitively, leaner firms may gain an edge—SAP SE and PayPal Holdings Inc., for instance, are channeling savings into AI and digital-commerce platforms.

Culturally, tech’s ethos is shifting. Gone are the cushy perks of the 2010s; in their place, a pragmatic focus on efficiency. Posts on X this week called it a loss of “decorum,” with Meta’s candid rhetoric and Google’s exit offers underscoring the change.

What’s Next?

More layoffs loom. According to a recent business survey, some 45% of U.S. managers expect AI and economic pressures to drive cuts this year. Still, stabilizing venture funding adds urgency for startups and giants alike to streamline. Yet growth persists—data-center expansions by Pulsant and connectivity projects like Bharti Airtel’s subsea cable signal a robust future for those who adopt.

For workers, the message is stark: Upskill or risk irrelevance. For companies, balancing cuts with innovation is the tightrope to watch. Tech’s workforce reckoning is here—and 2025 is its proving ground.

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Mozilla Shakes Up Leadership As Mitchell Baker Leaves

Mozilla has shaken up its leadership structure as the organization struggles to regain market share, with co-founder Mitchell Baker leaving.

Once one of the most popular web browser—and single-handedly responsible for breaking Internet Explorer’s browser monopoly—Mozilla Firefox now has a market share in the mid-single digits, hovering around 6.26% in January 2025. Mozilla has been working to broaden its appeal, rolling out (and sometimes canceling) a number of services. The organization has also been working to diversify its revenue stream, especially since the vast majority of its revenue comes from its Google search deal, a deal that is under threat as a result of Google being declared a search monopoly.

In a blog post, Mozilla’s Mark Surman addressed the challenges the organization is facing, along with what it is doing to address those changes.

We’ve recognized that Mozilla faces major headwinds in terms of both financial growth and mission impact. While Firefox remains the core of what we do, we also need to take steps to diversify: investing in privacy-respecting advertising to grow new revenue in the near term; developing trustworthy, open source AI to ensure technical and product relevance in the mid term; and creating online fundraising campaigns that will draw a bigger circle of supporters over the long run. Mozilla’s impact and survival depend on us simultaneously strengthening Firefox AND finding new sources of revenue AND manifesting our mission in fresh ways. That is why we’re working hard on all of these fronts.

We’ve also moved aggressively to attract new leadership and talent to Mozilla. This includes major growth in our Boards, with 40% new Board members since we began our efforts to evolve and grow back in 2022. We’ve also been bringing in new executive talent, including a new MoFo Executive Director and a Managing Partner for Mozilla Ventures. By the end of the year, we hope to have new, permanent CEOs for both MoCo and Mozilla.ai.

The organization created the Mozilla Leadership Council, with the group focused on better coordinating working across Mozilla’s organizations and groups.

Mozilla also announced three new board members, who Surman says reflects the organization’s “secret sauce” for future plans, with “mix experience bridging business, technology and the public interest.” The new board members are:

• The new MoFo Board Chair is Nicole Wong. Nicole is a respected cross-sector privacy and policy expert and innovator, with leadership roles at Google and Twitter/X, service as Deputy U.S. Chief Technology Officer and positions on multiple corporate and non-profit boards. Nicole has been on MoFo’s Board for 8 years.
• Kerry Cooper will chair MoCo. One of the world’s most respected CMO’s and consumer executives, Kerry has held C-Suite roles at Walmart.com, Rothy’s, Choose Energy and more, and now serves on boards spanning venture, startups and AI innovation. Kerry has been on MoCo’s Board for 2 years.
• Raffi Krikorian will chair Mozilla.ai. Raffi is a visionary technologist, engineer and leader, who was an early engineering leader at Twitter, headed Uber’s self-driving car lab, and is now CTO at the Emerson Collective where he works at the intersection of emerging technologies and social good. He brings three decades of thoughtful design and implementation within social media and artificial intelligence to Mozilla.

Mitchell Baker Departs

An interesting development is the departure of Mitchell Baker, one of Mozilla’s co-founders.

With these changes, Mitchell Baker ends her tenure as Chair and a member of MoFo and MoCo boards. In co-founding Mozilla, Mitchell built something truly unique and important—a global community and organization that showed how those with vision can shape the world and the future by building technology that puts the needs of humans and humanity first. We are extremely grateful to Mitchell for everything she has done for Mozilla and we are committed to continuing her legacy of fighting for a better future through better technology. I know these feelings are widely shared across Mozilla —we are incredibly appreciative to Mitchell for all that she has done.

Baker previously resigned as CEO of Mozilla in February 2024, with the company subsequently shifting gears to refocus on Firefox, including making it the best browser available and regaining market share.

Baker’s departure, along with the new board appointments, further solidifies Mozilla’s shift to a new direction, one that will hopefully see Firefox regain some of its former glory. As we have pointed out at WPN many times, Mozilla remains one of the most important tech companies in the world and continues to stand out as one of the few that truly fights for user privacy and digital rights.

With Google’s recent changes, in which the company has wholly embraced digital fingerprinting, organizations like Mozilla are more important than ever and give users the ability to reclaim some of their privacy.

Hopefully, Mozilla’s changes will help put the company on course for a resurgence.

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FTC Finalizes Penalties Against DoNotPay ‘AI Lawyer’ Company

The Federal Trade Commission announced it has finalized its order and penalties against DoNotPay, a company that claimed to provide “the world’s first robot lawyer.”

The FTC announced a complaint in September 2024, charging that DoNotPay’s service did not deliver on the company’s promise. The FTC says company dd not have attorneys on hand to review documents created by the AI chatbot to ensure their accuracy, not did it test the chatbot’s responses to ensure it was providing the same level of service a human attorney provides.

In a complaint announced in September 2024, the FTC charged that DoNotPay’s so-called robot lawyer failed to live up to claims that it was an adequate substitute for the expertise of a human lawyer. According to the complaint, the company did not test whether its “AI lawyer” operated to the level of a human lawyer when generating legal documents and giving advice, and the company did not hire or retain attorneys to test the quality and accuracy of its service’s law-related features.

As a result of the FTC’s findings, DoNotPay has been ordered to pay monetary relief and notify customers of the settlement.

The final order requires DoNotPay to pay $193,000 in monetary relief and notify consumers who subscribed to the service between 2021 and 2023 about the FTC settlement. The order also prohibits DoNotPay from advertising that its service performs like a real lawyer unless it has sufficient evidence to back it up.

“Using AI tools to trick, mislead, or defraud people is illegal,” said FTC Chair Lina M. Khan at the time the complaint was filed. “The FTC’s enforcement actions make clear that there is no AI exemption from the laws on the books. By cracking down on unfair or deceptive practices in these markets, FTC is ensuring that honest businesses and innovators can get a fair shot and consumers are being protected.”

The FTC voted in favor of the final order 5-0. The FTC’s unanimous and bipartisan finding about DoNotPay underscores the challenges consumers are facing when it comes to AI services and the promises they make.

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Microsoft Unveils Quantum Computing Breakthrough with Majorana 1 Chip

Microsoft announced a significant milestone in quantum computing by introducing the Majorana 1 chip, a quantum processor leveraging a novel “Topological Core” architecture. This breakthrough, culminating in 17 years of research into new materials and quantum designs, marks a pivotal step toward scalable, fault-tolerant quantum computing.

Unlike traditional quantum systems that rely on superconducting or trapped-ion qubits, the Majorana 1 utilizes topological qubits based on Majorana zero modes—a theoretical particle concept rooted in exotic physics. This article delves into the technical details of the announcement, the underlying science, and its implications for the future of quantum computing.

Background: Microsoft’s Quantum Journey

Microsoft’s quantum computing efforts began nearly two decades ago, focusing on a distinct approach: topological quantum computing. Traditional quantum computers, such as those developed by IBM, Google, and Rigetti, use superconducting circuits or trapped ions as qubits, which are highly susceptible to environmental noise and require extensive error correction. Microsoft, however, pursued a radically different path by exploring Majorana fermions—hypothetical particles that are their own antiparticles—as the foundation for stable qubits.

The pursuit of topological qubits stems from their theoretical promise of inherent fault tolerance. Unlike conventional qubits, which lose coherence due to minor disturbances (a phenomenon known as decoherence), topological qubits are predicted to be robust against local errors due to their non-local encoding of quantum information. This property could drastically reduce the overhead needed for error correction, a major bottleneck in scaling quantum systems.

For 17 years, Microsoft collaborated with academic institutions, physicists, and material scientists to identify and synthesize materials capable of hosting Majorana zero modes. The result of this long-term investment is the Majorana 1 chip, which Microsoft heralds as a “breakthrough in physics and quantum computing.”

Technical Details of the Majorana 1 Chip

Topological Core Architecture

The Majorana 1 chip is powered by a “Topological Core” architecture, a term coined by Microsoft to describe its qubit design. At its heart lies a new material dubbed a “topoconductor”—a hybrid between a topological insulator and a superconductor. Topological insulators are materials that conduct electricity only on their surfaces while remaining insulating in their bulk, while superconductors allow zero-resistance current flow. By combining these properties, Microsoft has created a platform where Majorana zero modes can emerge at the interfaces or edges of the material.

Posts on X and various news outlets indicate that the Majorana 1 chip currently features eight topological qubits. While this number is modest compared to systems like IBM’s Willow chip (with 105 superconducting qubits), Microsoft emphasizes that the Majorana 1 is a proof-of-concept rather than a commercially competitive processor. The company’s goal is to scale this technology to one million qubits per chip within years, a target that would enable quantum computers to tackle complex industrial and scientific problems intractable for classical supercomputers.

Majorana Zero Modes: The Science Behind the Qubits

Majorana zero modes (MZMs) are quasiparticles that arise in certain condensed-matter systems, such as those combining superconductivity and topological properties. First theorized by Italian physicist Ettore Majorana in 1937, these entities are unique because they are their own antiparticles, leading to exotic quantum behaviors. In the context of quantum computing, MZMs are of interest because they can encode quantum information in a way that is topologically protected—meaning their quantum states are resistant to local perturbations like temperature fluctuations or electromagnetic interference.

The Majorana 1 chip reportedly generates MZMs at the boundaries of its topoconductor material, likely using a combination of nanowires and superconducting layers. While Microsoft has not released a detailed white paper at the time of this writing (February 19, 2025), posts on X suggest that the chip leverages a carefully engineered heterostructure—a layered material stack—where MZMs manifest as zero-energy states. These states are braided or manipulated to perform quantum operations, a process distinct from the gate-based operations of conventional quantum computers.

Qubit Count and Scalability

With only eight qubits, the Majorana 1 is not yet poised to outperform classical computers or even rival other quantum processors in raw computational power. However, Microsoft’s announcement emphasizes scalability over immediate performance. The topological qubit design is intended to address one of quantum computing’s greatest challenges: scaling to large numbers of qubits without an exponential increase in error rates.

Traditional quantum systems require thousands of physical qubits to create a single “logical” qubit capable of reliable computation, due to the need for error correction codes like the surface code. In contrast, topological qubits could theoretically require far fewer physical qubits per logical qubit, thanks to their intrinsic error resistance. Microsoft’s claim of scaling to a million qubits suggests confidence in both the stability of their MZMs and the manufacturability of the topoconductor material.

Performance and Potential

Error Resistance

One of the most touted features of the Majorana 1 is its error resistance, a direct consequence of its topological nature. Posts on X highlight that while the chip’s eight qubits are a modest starting point, their stability could outstrip that of superconducting qubits. This aligns with the theoretical advantage of MZMs: because quantum information is stored non-locally (across pairs of Majorana modes), local noise cannot easily disrupt it. Microsoft has not yet published specific error rates for the Majorana 1, but the announcement implies that this property has been experimentally validated, at least at a small scale.

Computational Capabilities

While detailed benchmarks are unavailable, Microsoft claims that the Majorana 1 can perform “incredibly complex calculations” beyond the reach of classical computers. This statement, echoed in posts on X, is likely aspirational, referring to the chip’s potential once scaled. With eight qubits, the Majorana 1 is unlikely to achieve quantum advantage—the point where a quantum computer outperforms a classical one on a practical task. However, it serves as a testbed for validating the topological approach and refining the control mechanisms needed for larger systems.

Implications for Quantum Computing

A Challenge to the Status Quo

Microsoft’s announcement challenges the prevailing narrative in quantum computing. Notably, it contradicts recent skepticism from industry leaders like NVIDIA’s Jensen Huang, who suggested that practical quantum computing remains decades away. Posts on X reflect this tension, with some users lauding Microsoft’s optimism and others questioning the feasibility of scaling topological qubits to a million within years.

The Majorana 1 also positions Microsoft as a direct competitor to companies like IBM, Google, and Intel, which have focused on superconducting and silicon-based quantum systems. By betting on topological qubits, Microsoft is pursuing a high-risk, high-reward strategy that could either redefine the field or falter if technical hurdles—such as material synthesis or qubit control—prove insurmountable.

Path to a Million Qubits

Microsoft’s roadmap to a million qubits hinges on several factors:

1. Material Advancements: Scaling the topoconductor material to support thousands or millions of MZMs without degradation is a monumental engineering challenge. The past 17 years of research suggest Microsoft has made significant strides, but mass production remains untested.
2. Control Infrastructure: Manipulating MZMs requires precise control of their braiding—a process akin to weaving quantum states. Developing scalable hardware and software for this is an open question.
3. Integration with Classical Systems: Practical quantum computers will need to interface seamlessly with classical infrastructure, a hurdle Microsoft’s Azure Quantum platform aims to address.

If successful, a million-qubit topological quantum computer could solve problems like molecular simulation, cryptographic analysis, and optimization at scales unimaginable today.

Potential to Unlock New Frontiers

The announcement has sparked widespread discussion online, particularly on X. Enthusiasts hail the Majorana 1 as a “game-changer,” with posts emphasizing its potential to unlock new frontiers in science and industry. Skeptics, however, note the lack of concrete performance data and the long timeline from research to deployment.

The Microsoft Majorana 1 chip represents a bold leap in quantum computing, rooted in 17 years of interdisciplinary research. By harnessing topological qubits and a novel topoconductor material, Microsoft aims to overcome the scalability and error challenges that plague current quantum systems. While the chip’s eight qubits are a modest start, the promise of scaling to a million offers a tantalizing vision of future computational power.

Whether this breakthrough will reshape the quantum landscape or remain a promising experiment depends on Microsoft’s ability to translate theory into practice—a journey that the tech world will watch closely in the coming years.

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Musk’s X Seeks to Raise Funds at $44 Billion Valuation, Signaling a Turnaround

Elon Musk’s social media platform X is reportedly in discussions with investors to raise capital at a valuation of at least $44 billion, which matches the price Musk paid to acquire the company—then known as Twitter—in October 2022. The potential funding round, first reported by Bloomberg here, marks a significant milestone for a platform that has faced skepticism over its financial viability since Musk’s takeover. If successful, this would be the first known capital infusion since Musk took X private, offering a potential lifeline to reduce its substantial debt burden and fuel ambitious expansions into payments and video services.

The talks, which remain fluid and could still fall apart, come as X navigates a volatile trajectory under Musk’s leadership. After acquiring Twitter for $44 billion—a price he famously acknowledged as an overpayment—Musk steered the company through a tumultuous period marked by advertiser exodus, mass layoffs, and a sweeping rebrand to X. Fidelity Investments, an early backer, slashed its valuation of X by nearly 70% in December 2024, reflecting widespread doubts about its prospects. Yet, recent developments suggest a reversal of fortunes. Posts on X and reports from outlets like Reuters indicate that banks, led by Morgan Stanley, have successfully offloaded portions of the $13 billion in loans tied to Musk’s acquisition, buoyed by renewed investor confidence and the return of some advertisers.

This potential $44 billion valuation aligns with a broader resurgence in Musk’s ecosystem. Tesla Inc.’s stock has soared more than 40% since the November 2024 U.S. presidential election, driven by Musk’s high-profile role in President Donald Trump’s administration. SpaceX, another Musk venture, hit a $350 billion valuation in December 2024, up 67% from June. X’s 10% stake in xAI, Musk’s artificial intelligence outfit behind the newly launched Grok 3 model, further bolsters its appeal to investors eyeing synergies across his empire. “The valuations of Musk’s other companies have soared as he’s taken a significant role in Trump’s administration,” noted a Yahoo Finance report, underscoring the halo effect now lifting X.

Still, challenges linger. X’s revenue plummeted to $2.7 billion in 2024 from $5 billion in 2021, per Investopedia estimates, largely due to advertisers fleeing amid content moderation controversies and Musk’s polarizing public persona. Yet profitability has improved, with adjusted EBITDA nearly doubling, according to Morningstar. The company’s pivot to a broader “everything app” vision—integrating payments, video, and AI-driven features—mirrors the success of platforms like WeChat, though execution risks remain high. “More will be revealed,” mused one X user (@ivan_bezdomny), hinting at the opacity still shrouding X’s financials and strategic roadmap.

The timing of this fundraising effort is notable. Musk’s influence in Washington, where he leads the Department of Government Efficiency (DOGE), has sparked both optimism and scrutiny. Critics, including Democratic lawmakers, question whether his access to federal data could benefit his private ventures, including X. Meanwhile, his feud with OpenAI’s Sam Altman—highlighted by a rebuffed $97 billion bid for the AI giant—underscores the competitive stakes in tech’s next frontier. Posts on X reflect a mix of sentiment:

@TheCactus71 quipped, “Wonder how many journalists and ‘experts’ predicting the death of X will apologise now,” while @bcclist countered, “Somebody’s gonna let @elonmusk know @X isn’t worth shit in 2025, correct?”

For investors, the $44 billion question is whether X can sustain this valuation. The debt sale’s success—at no discount, per X chatter—suggests market faith in Musk’s turnaround prowess. Yet, as the New York Post reported, the deal’s specifics remain in flux, and abandonment remains a possibility. If completed, the funds could ease X’s $13 billion debt load, a legacy of its leveraged buyout, while bankrolling Musk’s vision of a multifaceted digital platform. Analysts see parallels to Musk’s past triumphs: transforming Tesla from a niche player to a trillion-dollar titan, or SpaceX’s dominance in aerospace. But X’s reliance on advertising—a sector still wary of its volatility—tempers expectations.

Wall Street will watch closely. A successful raise could silence doubters who pegged X’s worth as low as $4 billion, as Fox Business’s Charlie Gasparino once speculated while affirming its intangible value as a cultural and political force. “As a business, he overpaid,” Gasparino wrote on X, “but as a force for change, the value of @X is immeasurable.” For Musk, who thrives on defying odds, this funding round could be another chapter in his saga of reinvention—or a rare stumble in his relentless march forward.

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Mira Murati, Former OpenAI CTO, Launches Thinking Machines Lab

Mira Murati, former OpenAI CTO who left the company in late 2024, has revealed her next endeavor, Thinking Machines Lab.

Murati announced the news in an X post:

I started Thinking Machines Lab alongside a remarkable team of scientists, engineers, and builders. We're building three things:
– Helping people adapt AI systems to work for their specific needs
– Developing strong foundations to build more capable AI systems
– Fostering a…

— Mira Murati (@miramurati) February 18, 2025

The new company’s website outlines its vision.

Thinking Machines Lab is an artificial intelligence research and product company. We’re building a future where everyone has access to the knowledge and tools to make AI work for their unique needs and goals.

While AI capabilities have advanced dramatically, key gaps remain. The scientific community’s understanding of frontier AI systems lags behind rapidly advancing capabilities. Knowledge of how these systems are trained is concentrated within the top research labs, limiting both the public discourse on AI and people’s abilities to use AI effectively. And, despite their potential, these systems remain difficult for people to customize to their specific needs and values. To bridge the gaps, we’re building Thinking Machines Lab to make AI systems more widely understood, customizable and generally capable.

The website also features safety as a prominent goal of the new company.

Research and product co-design. Products enable iterative learning through deployment, while great products and research strengthen each other. Products keep us grounded in reality and guide us to solve the most impactful problems.

Empirical and iterative approach to AI safety. The most effective safety measures come from a combination of proactive research and careful real-world testing. We plan to contribute to AI safety by (1) maintaining a high safety bar–preventing misuse of our released models while maximizing users’ freedom, (2) sharing best practices and recipes for how to build safe AI systems with the industry, and (3) accelerating external research on alignment by sharing code, datasets, and model specs. We believe that methods developed for present day systems, such as effective red-teaming and post-deployment monitoring, provide valuable insights that will extend to future, more capable systems.

Measure what truly matters. We’ll focus on understanding how our systems create genuine value in the real world. The most important breakthroughs often come from rethinking our objectives, not just optimizing existing metrics.

Murati was one of OpenAI’s most well-known executives, serving as CTO for years, and even stepping into the role of CEO when Sam Altman was briefly ousted. While Murati says she did not support Altman’s ouster, and worked to bring him back, she was one of the many executives who expressed concerns over Altman’s leadership style.

Given her issues with Altman’s leadership, it’s not surprising that Murati’s new company has already recruited quite a few former OpenAI engineers.

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