Elon Musk's social media company, X, formerly known as Twitter, is in talks to raise new funding at a $44 billion valuation, the same price Musk paid when he acquired the platform in 2022, Bloomberg reported.

This marks the company's first attempt to secure outside investment since Musk took it private, signaling renewed confidence in its financial outlook despite past turmoil. According to sources quoted by Bloomberg, the funding discussions remain uncertain, and the company may alter the terms or abandon the process altogether.

The potential capital raise reflects a shift in sentiment toward Musk's business empire. Since the election of former President Donald Trump, Tesla's stock has surged more than 40%, while SpaceX recently achieved a $350 billion valuation, making it the world's largest private tech company.

Investor Sentiment Shifts as Musk's Influence Grows

Musk's artificial intelligence venture, xAI, is reportedly also seeking fresh funding. It targets a valuation of around $75 billion. X holds a $6 billion stake in the AI startup.

Musk's increasingly visible association with Trump has reshaped how some investors view X's future prospects. Supporters believe his political alignment may help advance his business interests, making X a more attractive investment despite previous concerns.

That change in perception is evident in the company's improving debt outlook. Last week, Morgan Stanley finalized the sale of $3 billion in X's debt without offering a discount, an unusual move that indicates robust investor demand. Potential buyers reportedly hesitated earlier attempts to sell the debt.

The renewed financing talks also follow a significant markdown by Fidelity Investments, which slashed the value of its X stake by 70% late last year.

Private Markets Play a Key Role in Musk's Strategy

Musk has frequently turned to private investors to fuel his ambitious ventures. Beyond X, his AI startup xAI is also actively courting investors as part of a broader push to expand its technological capabilities.

Investors backing Musk's original Twitter acquisition include major names like Andreessen Horowitz, Sequoia Capital, and the Qatar Investment Authority. It remains unclear whether these firms will participate in the latest fundraising effort.

As X navigates the evolving social media landscape, Musk's ability to maintain a $44 billion valuation underscores both his influence in private markets and investors' willingness to bet on his long-term vision.