Just a little history on Twitter, a company that has not earned one dime yet..... Twitter's value (to the NWO) may not be purely economichttp://en.wikipedia.org/wiki/Jack_DorseyJack Dorsey
is an American software architect and businessperson best known as the creator of Twitter. BusinessWeek called him one of technology's "best and brightest". MIT's Technology Review named him to the TR35, an outstanding innovator under the age of 35.
Dorsey grew up in St. Louis, Missouri. By age 14, he was interested in dispatch routing. Some of his open source software in this genre is still in use by taxicab companies
. While working on dispatching as a programmer he later moved to California.
In Oakland in 2000, Dorsey started his company to dispatch couriers, taxis, and emergency services from the Web. His other projects and ideas at this time included networks of medical devices and a "frictionless service market". In July 2000, building on dispatching and inspired in part by LiveJournal and possibly by AOL Instant Messenger, he had the idea for the realtime status communication
When he first saw implementations of instant messaging, Dorsey had wondered if the software's user status output could be shared among friends easily. He approached Odeo, who at the time happened to be interested in text messaging. Dorsey and Biz Stone decided that SMS text suited the status message idea, and built a prototype of Twitter in about two weeks. The idea attracted many users at Odeo and investment from Evan Williams who had left Google
after selling them Pyra Labs and Blogger.Twitter, Inc.
Biz Stone and Dorsey accepting a TechCrunch award for best mobile startup Dorsey, Stone and Williams co-founded Obvious which then spun off Twitter, Inc. As chief executive officer, Dorsey saw the startup through two rounds of funding by the venture capitalists who back the company. In October 2008 Williams took over the role of CEO, and Dorsey became chairman of the board.http://en.wikipedia.org/wiki/Twitter
Since its creation in 2006 by Jack Dorsey, Twitter has gained notability and popularity worldwide. It is sometimes described as the "SMS of the Internet", as it provides the functionality—via its application programming interface (API)—for other desktop and web-based applications to send and receive short text messages, often obscuring the Twitter service itself.
Through SMS, users can communicate with Twitter through five gateway numbers: short codes for the United States, Canada, India, New Zealand, and an Isle of Man-based number for international use. There is also a short code in the United Kingdom which is only accessible to those in the Vodafone network.
Twitter has raised US$57 million from venture capitalists. CEO Evan Williams raised about $22 million in venture capital. Twitter is backed by Union Square Ventures, Digital Garage, Spark Capital, and Bezos Expeditions (led by Jeff Bezos of Amazon). Institutional Venture Partners and Benchmark Capital backed Twitter in 2009, investing an additional $35 million. The Industry Standard has pointed to its lack of revenue as limiting its long-term viability. On February 13, 2009, Twitter announced on its official blog that it had closed a third round of funding in which it secured more than $35 million.
...In June 2009
, following allegations of fraud in the Iranian presidential election of that year, protesters used Twitter as an effective rallying tool and as a method of communication with the outside world after the Iranian government blocked several other modes of communication
During the 2009 Iranian election protests, the mainstream media in the United States was criticized on Twitter for not covering the election.. CNN in particular was criticized, with numerous individuals using the hashtag #CNNfail. Twitter was also used to spread information and commit DDoS attacks. On June 15, Twitter rescheduled a planned 90-minute maintenance outage, after a number of Twitter users, as well as the US State Department, asked for a delay (including directly asking company executives), due to concerns about its role as a primary communication medium by the protesters in Iran. http://en.wikipedia.org/wiki/Benchmark_CapitalBenchmark Capital
is a venture capital firm responsible for the early stage funding of some very successful startups. In 1997, the firm invested $6.7 million in eBay, which became worth more than $5 billion by the spring of 1999. Other high profile investments include Ariba, Juniper Networks, Red Hat, and Twitter.http://optionarmageddon.ml-implode.com/2009/05/15/twitter-investor-not-concerned-company-losing-money/Twitter Investor Not Concerned Company Losing Money
May 15, 2009 – 2:44 am
Long-time angel investor Ron Conway talked with Bambi Francisco at EconSM Thursday….
Twitter: Conway isn’t concerned that Twitter isn’t making money yet
. “If you look at some of the greatest companies that have ever come out of Silicon Valley—Google and Facebook—(these are) examples of companies that focused on critical mass before they worried about monetization.” He also does not think that Twitter will sell itself. “I think Twitter could be the next Facebook or Google in size—market size and potential. Why not stay an independent company?”http://mediamemo.allthingsd.com/20090604/twitter-investor-business-plan-comingby-2011/Twitter Investor: Business Plan Coming…By 2011Give the Twitter guys credit for honesty: Asked to explain how their big-hype, zero-revenue company will make money, as we did at last week’s All Things Digital conference, and they’ll cheerfully admit that they’re not sure.
If you’re a perspective buyer, whether that’s Microsoft (MSFT) or Google (GOOG), that has to be unsettling.Then again, the Twitter guys insist they’re not selling the company in the next five years. And their investors, who have plowed more than $50 million into the company, seem to be equally sanguine
Or at least one is. Spark Capital’s Bijan Sabet says the company isn’t in a rush to start generating money — in large part because it’s raised so much money
02/13/2009Twitter Raises $35 Million
By Claire Cain Miller
Updated 3:45 p.m.: Added comment from Todd Chaffee of Institutional Venture Partners.
Twitter has raised $35 million in venture capital, bringing the microblogging start-up’s total funding to $55 million
. The new money came from Institutional Venture Partners and Benchmark Capital
. Peter Fenton, a partner at Benchmark who has also invested in Web 2.0 darlings Yelp and FriendFeed, will join the Twitter board.
The fundraising round brings in two top West Coast venture firms. The San Francisco start-up had previously raised $20 million from investors including Union Square Ventures
, based in New York, and Spark Capital
, based in Boston. Those firms will also participate in the latest round, as could previous angel investors including Ron Conway and Marc Andreessen, which could bring the total to $40 million, said Todd Chaffee of Institutional Venture Partners
. They are still working out the final details. The company was not looking for new investors
and still has money in the bank, said Biz Stone, a co-founder, in an interview. In December, Twitter C.E.O. and co-founder Evan Williams said that though he had originally planned to raise more money in 2009, when the economy turned, he decided not to. But the two new investors approached Twitter, Mr. Stone said, and “we went for it.” Institutional Venture Partners closed its part of the deal on Jan. 16 and Benchmark closed its funding Thursday night.
The announcement from Mr. Williams appeared, of course, in fewer than 140 characters on Twitter: “We raised more money: http://bit.ly/mbEO9
I feel very fortunate we were able to do this and very excited about what we will build. Go team.”
“We’re fired up,” Mr. Chaffee said. “They’ve had unbelievably explosive organic growth like I’ve never seen before, and an amazing level of interest from developers, the digerati and the media. We really need all hands on deck to figure how to shepherd that growth.” Twitter will use the money first and foremost to hire new people. “We really need to grow the company,” Mr. Stone said. “We have 29 employees, which is shockingly low considering the work we have to do.”
Despite its growing popularity — active users have increased 900 percent in the last year, Mr. Stone said — Twitter has not earned a single dollar
. It does not sell advertising on its site and is free for users.
The company plans to slowly roll out a revenue plan over the next few months. That will likely include charging businesses for certain features they can use to talk to customers on Twitter.
Though Twitter has said that revenue is a priority in the first quarter of this year, the new money could buy the company some time. “I would much rather have this thing grow to natural scale than build in a revenue model artificially, too quickly,” Mr. Chaffee said. Mr. Fenton said he had been watching the company, which turned down a reported $500 million acquisition offer from Facebook last year, for two years.
“They decided to partner with an active West Coast syndicate to vigorously pursue the path of independence,” he said. “As a business opportunity, it jumped out to us as having many potential revenue streams that support, and don’t undermine, its success.”