Elon Musk’s X Appoints Former Tubi Executive Pardoned by Trump as CFO

Elon Musk's X has named Mahmoud Reza Banki, a former Tubi executive who received a presidential pardon from Donald Trump, as the platform's new chief financial officer. Banki, who previously served as the chief financial officer and chief strategy officer at Tubi from 2017 to July 2023, has updated his LinkedIn profile to reflect his new role.

Banki's Appointment as CFO

Banki is the first public CFO of X. According to reports by The Wall Street Journal, which first broke the news, other executives had been filling the role in the two years following Musk's acquisition of the platform for $44 billion.

Presidential Pardon

Banki was granted a pardon by President Trump on January 19, 2021. The pardon was related to charges from 2010 regarding false statements and sanctions violations against Iran, which were later overturned. Banki spent nearly two years in prison before being released in November 2011 following a successful appeal.

Banki's Background

Banki left postwar Iran in the 1990s and moved to the US at the age of 18 in pursuit of the American dream. He graduated from UC Berkeley with a double major and earned a Ph.D. from Princeton before joining McKinsey & Company in New York City in 2005.

Challenges Faced by X

Banki's appointment comes at a crucial time for X as the platform has encountered financial difficulties since Musk's takeover in 2022. The company has experienced a decline in advertising revenue, leading to major brands withdrawing their content from X. Additionally, the platform has struggled to regain advertisers.

In a September report by market research firm Kantar, it was found that 26% of advertisers surveyed planned to reduce their spending in 2025. The value of X has also significantly dropped, with Fidelity reporting a 71% decrease since Musk's acquisition in October 2022.

The Wall Street Journal reported in August that Musk's Twitter acquisition resulted in the worst buyout financing deal for banks since the 2008 recession. The $13 billion in loans Musk obtained has remained on banks' balance sheets.

Musk envisions transforming X into an "everything app" with a range of financial features that would enable users to manage their finances directly on the platform, similar to WeChat.

Source: Business Insider

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By: bnolan@insider.com (Beatrice Nolan)
Title: Elon Musk’s X Appoints Former Tubi Executive Pardoned by Trump as CFO
Sourced From: www.businessinsider.com/mahmoud-reza-banki-x-cfo-presidential-pardon-donald-trump-2024-11
Published Date: Thu, 14 Nov 2024 11:57:50 +0000