Or, How Twitter Can Make $Billions and $Billions/Year from Ads Alone
For years, people have been offering their opinions on how Twitter should make money. Despite the fact that the company allegedly made $45 million in 2010 and its targeting $150 million this year, those numbers fall far short of the kind of revenues Twitter will need to justify it’s soon to be $8 Billion valuation.
While most industry watchers and armchair quarterbacks point to advertising as the answer, what’s been leaked, rumored, experimented with, experimented with again and announced thus far falls far short of the bold and innovative thinking that spawned Twitter in the first place. If history is any guide, most of those solutions will be viewed as intrusive (remember the Dickbar?), will fail because no one’s considering how users may react and/or will simply not generate enough revenue to satisfy Twitter’s investors anyway. (more…)