Musk Removes Giant, Flashing X Sign after Furore

Workers install lighting on an "X" sign atop the downtown San Francisco building that housed what was formally known as Twitter, now rebranded X by owner Elon Musk, Friday, July 28, 2023. (AP)
Workers install lighting on an "X" sign atop the downtown San Francisco building that housed what was formally known as Twitter, now rebranded X by owner Elon Musk, Friday, July 28, 2023. (AP)
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Musk Removes Giant, Flashing X Sign after Furore

Workers install lighting on an "X" sign atop the downtown San Francisco building that housed what was formally known as Twitter, now rebranded X by owner Elon Musk, Friday, July 28, 2023. (AP)
Workers install lighting on an "X" sign atop the downtown San Francisco building that housed what was formally known as Twitter, now rebranded X by owner Elon Musk, Friday, July 28, 2023. (AP)

The company formerly known as Twitter removed a towering, blinking X from atop its San Francisco headquarters Monday after the rebranded tech firm tangled with city officials over the controversial sign.

The X, installed on the roof of the company's downtown office last week, was part of owner Elon Musk's bid to rebrand the troubled social media giant to the 24th letter of the alphabet, AFP said.

But local residents had complained about the brilliant flashing lights emitting from the sign at night. Some also complained about safety, suggesting the sign -- which had loomed over the building's edge -- did not appear securely anchored to the roof.

San Francisco's Department of Building Inspection and City Planning received 24 complaints about the sign, including concerns about its "structural safety and illumination," agency communications director Patrick Hannan told AFP.

"This morning, building inspectors observed the structure being dismantled," Hannan said.

The owner of the property where X is renting offices will have to pay the cost of permits to install and remove the sign, as well as the cost of the city's investigation, according to Hannan.

A building inspector following up on a complaint first went to the tech firm's headquarters on Friday -- but was not allowed onto the roof to check the sign, according to the complaint posted on a city website.

Instead, an X representative told the inspector that the structure was "a temporary lighted sign for an event," the complaint showed.

A second attempt by an inspector to check the sign was also rebuffed on Saturday, according to the city.

The city sent X a notice of violation warning that it needed proper permits for the sign.

When contacted by AFP about the complaint, X replied with an automated message saying it would respond "soon."

Backlash
Musk has brushed off the backlash to the sign and to the rebrand in general, responding with a laughing emoji to one X user's post about the city being at odds with him over the new sign.

The billionaire killed off Twitter's globally recognizable bird logo early last week as he rebranded the company he hopes to turn into a super-app inspired by China's WeChat, which would function as a social media platform and also offer messaging and payments.

Since Musk bought Twitter for $44 billion last October, the platform's advertising business has collapsed as marketers soured on Musk's management style and mass firings at the company that gutted content moderation.

In response, he has moved toward building a subscriber base and pay model in a search for new revenue.

Workers last week were stopped while removing the Twitter sign and blue bird logo from the headquarters due to a lack of proper permits. It was also gone Monday.

A group of former Twitter employees who lost their jobs when Musk took over said in a federal civil suit filed against the company in May that the billionaire made it clear that he did not intend to pay expenses such as rent or severance packages.

An attorney for Musk was overheard crudely insulting San Francisco at one point, contending it was unreasonable for landlords to expect Twitter to pay rent given living conditions, the suit maintained.



Nvidia Overtakes Apple as World’s Most Valuable Company

 A man walks past the Nvidia logo at the company's AI Summit in Mumbai, India, October 24, 2024. (Reuters)
A man walks past the Nvidia logo at the company's AI Summit in Mumbai, India, October 24, 2024. (Reuters)
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Nvidia Overtakes Apple as World’s Most Valuable Company

 A man walks past the Nvidia logo at the company's AI Summit in Mumbai, India, October 24, 2024. (Reuters)
A man walks past the Nvidia logo at the company's AI Summit in Mumbai, India, October 24, 2024. (Reuters)

Nvidia dethroned Apple as the world's most valuable company on Friday, following a record-setting rally in the stock powered by an insatiable demand for its new supercomputing AI chips.

Nvidia's stock market value briefly touched $3.53 trillion, while that of Apple was $3.52 trillion, according to data from LSEG.

In June, Nvidia briefly became the world's most valuable company, before it was overtaken by Microsoft and Apple. The tech trio's market capitalizations have been neck-and-neck for several months. Microsoft's market value stood at $3.20 trillion.

Nvidia's stock has risen about 18% so far in October, with a string of gains coming after OpenAI, the company behind ChatGPT, announced a funding round of $6.6 billion. Nvidia provides chips used to train so-called foundation models such as OpenAI's GPT-4.

"More companies are now embracing artificial intelligence in their everyday tasks and demand remains strong for Nvidia chips," said Russ Mould, investment director at AJ Bell.

"It is certainly in a sweet spot and so long as we avoid a big economic downturn in the United States, there is a feeling that companies will continue to invest heavily in AI capabilities, creating a healthy tailwind for Nvidia."

Nvidia's shares hit a record high on Tuesday, building on a rally from last week when TSMC, the world's largest contract chipmaker, posted a forecast-beating 54% jump in quarterly profit driven by soaring demand for chips used in AI.

The next big test will be when Nvidia reports third-quarter results in November. Nvidia in August forecast third-quarter revenue of $32.5 billion, plus or minus 2%, compared with the current average analyst expectation of $32.90 billion, according to data compiled by LSEG.

Morgan Stanley analyst Joseph Moore said in a note dated Oct. 10 that he remains "very bullish" about the company longer term, but the recent rally "raises the bar for earnings somewhat".

After a meeting with Nvidia's CEO Jensen Huang, Moore noted the ramp up in production of its next-generation Blackwell chips appeared to be "quite strong" and are booked out for 12 months. The stock came under pressure in August after Nvidia confirmed reports that the production of Blackwell chips was delayed until the fourth quarter.

Shares of Nvidia, Apple and Microsoft have an outsized influence on the richly valued technology sector as well as the broader US stock market, with the trio accounting for about a fifth of the S&P 500 index's weightage.

Frenzy around the prospects of AI, expectations that the US Federal Reserve will considerably bring down interest rates, and most recently, an upbeat start to the earnings season, have pushed the benchmark S&P 500 to an all-time high last week.

Nvidia's massive gains have helped boost the stock's appeal for option traders and the company's options are among the most traded on any given day in recent months, according to data from options analytics provider Trade Alert.

The stock has surged nearly 190% so far this year as a boom in generative AI prompted the company to issue a series of blowout forecasts.

"The question is whether the revenue stream will last for a long time and will be driven by the emotion of investors rather than by any ability to prove or disprove the thesis that AI is overdone," said Rick Meckler, partner at Cherry Lane Investments, a family investment office in New Vernon, New Jersey.

"I think Nvidia knows that near term, their numbers are likely to be quite remarkable."