„The whole world is watching Twitter“, but profits are farther than ever


Twitter’s CEO Jack Dorsey recently said that the whole world is watching the platform. And he’s right. With Donald Trump being followed by probably every news station around the world and supporters and enemies alike flocking to Twitter, the company is adding users. But that’s not translating into money – it never has. And maybe it just can’t at this point.

In the era which will probably go down in history as “before Trump”, Twitter was stagnating as far user growth was concerned. Over the last three months, it has added 2.6 million monthly active users, which bring up the total amount to 319 million. 

Twitter is gaining a lot of attention, that’s undeniable. But it’s also losing a lot of money. In the fourth quarter of 2016, the company had a net loss of 167 million dollars – larger than every single other quarter in the year by at least 60 million and also almost 80 million more than what it lost in the same period of time last year. Yes, the company is growing, but so are the costs associated with it. Many are calling out for changes at the core product and that is part of what is costing the company so much – it is spending money looking for viable strategies. But is there still one?

If your company has grown to the point of Twitter, being one of the most popular social networks of our time, there might be little chance of turning back. You have over 300 million active users, they are there for a reason. Every change might chase away more people than it attracts. People are the only currency Twitter has – and every strategy to make it profitable might hurt that currency. It’s easy to say “start making money”. But as Twitter shows, even for the biggest companies, it’s not as simple as that.

Source: http://mashable.com/2017/02/09/twitter-2017-make-money/?utm_cid=hp-h-7#hcC802dSkaqi  
Pic: © edar
Create your freelance profile and land new projects without any fees!

 Sign up now

More articles

  • Snapchat, Dropbox, Spotify – 3 tech IPOs to look forward to this year

    2017 has been called the year of the tech IPOs (initial public offerings). A lot of tech giants are looking to go public this year - from social network Snapchat through cloud storage Dropbox all the way up to music streaming Spotify. Will they be tops or flops? This might determine not only the future of these companies, but also of their entire industries. Here’s what we know so far:
  • Apple to start making iPhones in Bangalore, India

    Apple will be moving a part of its iPhone production to India. As it has apparently become tradition nowadays (I’m looking at you, Donald), the news was made public on Twitter by Priyank Kharge, the Minister of IT of India state Karnataka.
  • Amazon adds 110,000 employees in one year

    E-commerce giant Amazon has been displaying a massive growth in employees in the last years and it isn’t showing any signs of stopping. Right now, the company has over 341,000 employees – that number was 30 percent lower last year. Five years ago, there were only 32,000 people working at Amazon.


  • No comments available

Comment this article