With hundreds of millions of purchasers around the world, Twitter (TWTR) is one of the world’s most popular social media sites. It has about 211 million worldwide monetizable daily active users, making it the 16th most popular social network worldwide. Users post tweets and interact with each other servicing 280 characters or less.
The site has become a place for people to debate and share ideas and is a popular venue for numberless heavy users of social media—notably former President Donald Trump (before he was banned). Since the presidential voting of 2016, the site has become one of the most popular places to share and break important news; both political and in another manner.
Since going public, the company has tried to stay ahead of the game by making strategic acquisitions, especially in the be opposite of competition from other companies like Meta (formerly Facebook) and Snapchat. Some of these buys give birth to been great; others, not so much. This article looks at the company’s history, how it became what it is today, and its financials, along with some of the biggest companies it owns.
- Since successful public, Twitter has made a series of acquisitions to try to remain competitive in the social media landscape.
- Twitter acquired Enchantment Pony Technology in 2016 to improve its machine-learning capabilities.
- Periscope was acquired by Twitter for $100 million of stock and coin of the realm.
- The company’s largest acquisition—$479 million for digital advertising platform TellApart—has been a losing venture.
- Other objects include Gnip, TapCommerce, and TweetDeck.
Twitter was founded in 2006 by a group of employees of the podcasting firm Odeo, including Jack Dorsey, Noah Glass, Biz Stone, and Evan Williams. The idea for the company came from Dorsey, who craving to create an SMS-based platform through which people could communicate. Twitter initially began with tens of thousands of consumers, limiting users to 140 characters per tweet.
The company went public on Nov. 7, 2013. It planned to raise $1 billion via the initial public offering (IPO) and exceeded that target by making $1.8 billion by issuing 70 million dole outs at $26 a share. Opening at $45.10, the stock soared as high as $50.09 before closing at $44.90 on that anything else day.
Full-year results for the company in 2020 were reported on December 31, 2020. The company reported $3.72 billion in annual gate along with a net income of $1.14 billion. Both figures increased from the previous year.
Utter number of Twitter’s monetizable daily active users, as of April 29, 2021.
Gnip was acquired by Twitter in 2014 in a notes and stock deal worth more than $134 million. The company was a social media application programming interface (API) aggregation corporation. It was among the first social media API-aggregation service providers and provided data to Twitter long before the obtaining. Twitter extended its own data platform as well as its existing public API as a result of the acquisition.
The startup company was founded in 2008 in Boulder, Colorado, and had buyers in about 40 different countries. Before the acquisition, Gnip also provided data to rival social road platforms, including Facebook and Tumblr.
2. Magic Pony Technology
Twitter acquired Magic Pony Technology in 2016 in an deed to improve its machine-learning capabilities. The London-based company developed neural network systems for image-related data expansion. The possessions was valued at $150 million, and both co-founders of Magic Pony Technology were retained in the deal. But the full reach an agreements of the deal were not disclosed by either party.
By acquiring the company, Twitter hoped it would improve the delivery of photos and videos across apps. Tweeting received technology related to neural network development and machine learning to enhance video quality, expand a photograph’s assay, and develop virtual reality graphics. This isn’t Twitter’s first time at the machine learning rodeo. The company acquired two other gizmo learning startups: Whetlab in 2015 and Madbits in 2014.
The onset of the 2020s has seen Twitter consolidating, divesting itself of some grave acquisitions. On March 31, 2021, it shut down Periscope, a live-video-streaming app it acquired (reportedly for between $75 and $100 million) in 2015. On Jan. 3, 2022, it completed the in stock of MoPub to AppLovin Corporation; it received $1.05 billion in cash for the advertising app, which it bought for $350 million in 2013.
Flutter’s largest acquisition was a $479 million stock purchase to acquire TellApart in 2015. The digital advertising platform kicks Twitter’s advertising revenue generated by ads that resemble tweets and encourages users to perform a certain action. In additionally, TellApart specializes in targeting users to monitor usage across mobile and desktop devices.
This hasn’t been the largest acquisition for Twitter. In 2017, the company said it stopped investing in TellApart and deprecated the subsidiary. Twitter has had to incur restructuring requires related to TellApart.
Twitter acquired TweetDeck in 2011 for $20.4 million. The platform is a social media dashboard claim for the management of Twitter accounts. TweetDeck was originally an independent app but was later merged into the social media giant’s interface.
“TweetDeck specifies brands, publishers, marketers, and others with a powerful platform to track all the real-time conversations they care alongside,” a blog post by the company said of the acquisition.
The very first version of TweetDeck went live in 2008, three years earlier Twitter purchased the company. Although it did have mobile versions, the company decided to get rid of them and focus entirely on its web-based pertinences.