Musk is redefining X with the single aim of giving LinkedIn, Instagram and YouTube a run for their money!!
Gone are the days of Twitter’s simplicity; ever since Elon Musk took over, the platform has been a hotbed of innovation and transformation. Transitioning from a mere microblogging site to a comprehensive social media hub – including rebranding as an X – Musk has spearheaded a wave of changes that have given rise to many speculations, some of which are head-turning!
Many believe the series of changes introduced to date are just the tip of the iceberg. The current team of X, under the leadership of its CEO Linda Yaccarino, who was brought in by Elon Musk himself, is burning the midnight oil to develop a few jaw-dropping features and transform X into a cash cow for its new owners.
Paid Blue and Gold checkmark, Communities, Job Search, and premium and premium+ features such as Media Studio and Grok are just a few of the additions that have propelled X into a league of its own.
One thing is clear: LinkedIn, in particular, has been in Musk’s crosshairs.
Musk’s Disdain for Traditional Social Media
Elon Musk’s disdain for traditional social media platforms like Facebook, Instagram, and LinkedIn is no secret. He’s always been vocal about his critiques, even hinting at X’s plans to launch a cooler alternative in the foreseeable future.
A Direct Challenge to LinkedIn
X is slowly but steadily narrowing the gap with LinkedIn by offering similar core functionalities.
If we take a closer look at the new features of X, which were introduced recently, it’s evident that Musk is highly driven and has a clear vision for the future of X.
One of the most significant launches on X Platform is the Job Search feature, mirroring LinkedIn’s core offering. With this feature, X has officially forayed into professional social media networking, directly challenging LinkedIn’s dominance. X users can now explore job openings by location, type, seniority, employment terms, and company names for free.
Another prominent feature is Hiring, which is currently in beta and available only for premium X users and organizations. The X Hiring feature allows users to post jobs and feature them on their profiles, making these roles visible to anyone who views their profiles.
With over 1 million job postings across various industries, X is rapidly becoming a go-to destination for job seekers and recruiters. The acquisition of tech hiring startup Laskie in May 2023 further solidifies X’s position in the job market.
But this is not all; Musk has taken one more step closer to narrowing the gap between LinkedIn and X. As per the recent tweet by Nima Owji, X users will soon be able to add their work history to their profile. This upcoming feature on X closely aligns with LinkedIn’s core feature.
By integrating these job features, X will likely become a prominent threat to LinkedIn as the dominating professional networking platform in a few months. However, it is not as easy as it seems, considering X is a new entrant while LinkedIn has been dominating this space for nearly two decades.
What’s Elon Musk Upto?
Many believe that the motive behind Musk’s aggressive strategy is to replace LinkedIn with X. While some view it as just a step towards making X an Everything App, others speculate deeper strategic intentions behind these feature rollouts.
Transforming X into an “Everything App”
Elon Musk’s ultimate goal is to transform X into an “everything app,” a one-stop destination for users’ digital needs.
Beyond challenging LinkedIn, X is set to introduce a separate section for posting short and long-form videos, akin to Facebook and Instagram. The upcoming X TV will also be a direct competitor to YouTube. Additionally, X plans to disrupt the media landscape with the launch of Articles, enabling users to write and share long-form content. Musk is also testing live video game streaming on the X platform. Furthermore, Musk announced plans to turn X into a financial hub, aiming to replace traditional banking services.
Interestingly, all the above features are reserved for Premium subscribers and Verified Organizations.
Despite Musk’s ambitious plans, X Platform faces significant challenges, particularly in increasing its user base and revenue.
Attracting Users from Rival Social Media Platforms
In the quest to increase the user base of X, Musk recognizes the potential of competing directly with established platforms like LinkedIn, YouTube and Meta’s suite of apps.
As of May 2024, X boasts 600 million monthly active users, half of whom engage daily. In contrast, LinkedIn remains the world’s largest professional network, with over 1 billion members across more than 200 countries, while Meta’s family of apps (Facebook, Instagram, and WhatsApp) serves over 3 billion Family daily active people.
User dissatisfaction with platforms like Instagram, plagued by issues such as spam, fake accounts, and data privacy concerns, presents an opportunity for X. If Musk can deliver high-quality features while ensuring data security, X could gain a competitive edge and eventually attract users from rival platforms. This potential for user migration could significantly bolster X’s position in the market.
Similarly, a considerable number of job seekers have expressed discontent with LinkedIn, exploring alternative networks for their job searches. By strategically attracting these dissatisfied LinkedIn users with a potentially more creative and useful professional networking platform, X could see a rapid expansion in its user base and establish a stronger foothold in the market.
Diversifying Revenue Streams
Another critical motivation behind introducing an array of new features on the X platform is to strengthen and diversify revenue streams, both from ads and subscriptions.
Prior to Musk’s acquisition, Twitter relied on ads for 90% of its revenue, with no subscription model in place. However, Musk’s controversial posts and comments on X have alienated many top advertisers, leading them to suspend their ad spending on X. His infamous “Go, Fuck Yourself!” remark to these advertisers made headlines and raised questions about his understanding of social media business and management style. Consequently, X lost over 50% of its advertisers and ad revenue.
Meanwhile, LinkedIn has strengthened its appeal among users and advertisers. According to Insider Intelligence, LinkedIn’s annual ad revenue reached nearly $4 billion in 2023, marking a 10.1% YoY increase, with projections of a further 14.1% growth in 2024. Advertising prices on LinkedIn have surged by up to 30% due to heightened demand, as the platform has improved its targeting capabilities, attracting brands that are increasingly deserting X.
On the other hand, despite the introduction of Premium and Premium+ plans, X has been struggling to boost its subscriber base and revenue, which has not jumped as expected. As of April 2023, the number of Premium subscribers on X stood at 640,000. However, no official data has been released regarding the total number of X premium subscribers, indicating potential concerns about the uptake of these premium offerings.
Therefore, the X platform actively adds more features for its paid users to make its subscription model appealing. One such feature is the Ads Revenue Sharing program, where verified premium users receive a small share of ad revenue generated by the platform each month. This revenue is given to users based on their organic impressions of ads displayed in replies to content posted on X. Since the introduction of the ad revenue share program, X has paid more than $45 million to more than 150,000 creators. This is another way to encourage users to subscribe to the premium model and stay glued.
If X can effectively replicate all the features of LinkedIn, it could boost its monthly active user base and entice organizations to advertise job openings on the platform. This would be mutually beneficial for X, organizations, and users.
Looking Ahead: The Future of X Platform
Elon Musk is popular for his unconventional approaches and defying all odds to attain success. With ambitious projections of reaching 159 million Blue users by 2028, generating $10 billion annually from subscriptions by 2028, and $26.4 billion in annual revenue by 2028, Musk’s ambitions know no bounds.
The goal of surpassing LinkedIn is just the beginning. Musk’s commitment to innovation, preservation of free speech, and the aspiration to establish X as the go-to platform for all aspects of digital interaction will usher in a new era of networking and connectivity on the X platform.
