In a strategic maneuver to cement its position as a super app, Elon Musk’s X, formerly known as Twitter, is set to introduce cutting-edge audio and video calling functionalities. However, this audacious play faces formidable competition from Meta’s Facebook and WhatsApp platforms, all while navigating the turbulent waters of ongoing privacy apprehensions.
Mr. Musk, known for his visionary ambitions, took to social media on August 31st to announce that X is primed to unleash its audio and video calling features in the not-too-distant future, a declaration that sent ripples through the tech industry.
This bold move thrusts X into direct rivalry with Meta’s WhatsApp platform, a communications behemoth boasting an ad-free environment and a colossal user base of 2 billion individuals. Notably, WhatsApp, despite its expansive reach, has yet to generate revenue for Meta since the latter’s landmark acquisition of the platform for $19 billion in 2014. Nevertheless, Meta has been diligently pushing its business offerings in a concerted bid to monetize the service.
The path to digital dominance for X has been marred by a series of contentious modifications since Mr. Musk’s acquisition of the platform last year. Notable transformations include a rebranding from Twitter to X and the introduction of a paid verification system, resulting in a notable exodus of advertisers, with ad revenue plummeting by a reported 50%.
Mr. Musk further delineated that X’s forthcoming call feature would not necessitate the provision of a phone number and would be accessible across various platforms, placing it squarely in competition with the venerable WhatsApp, known for its messaging and voice-over-IP capabilities.
While the race to prominence unfolds, X finds itself ensnared in a web of regulatory scrutiny, with the Federal Trade Commission (FTC) intensifying its inquiries into the platform’s data practices and privacy safeguards. In an intriguing juxtaposition, Mr. Musk’s announcement of the call features was coupled with the revelation of an updated privacy policy, which allows X to gather additional personal information and even biometric data from select users.
These multifaceted challenges, including competitive titans, an unsettled user base, and regulatory vigilance, cast a looming shadow over X’s aspirations to ascend the ranks of super app stardom. Despite its arsenal of new features, such as audio and video calls, the road ahead for X appears to be fraught with formidable obstacles.
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