Filed under: Rumors, Internet, Apple
Rumor Watch: Apple to buy Twitter
TechCrunch's Michael Arrington is reporting that rumors beginning to float around the blogosphere are stating that Apple is interested in purchasing Twitter for US$700 million in cash. Twitter, in case you've been off of the planet for the last two years, is the magical "social networking" tool that has you answer the question "What am I doing right now?" in 140 characters or less. Twitter currently has more than 25 million users, and it is rumored that growth has been exploding since Oprah blessed the service with her presence in mid-April. However, despite the size and growth potential of Twitter, there's simply no compelling reason for Apple to spend part of its huge cash reserves to purchase the company.
Google recently tried to purchase Twitter, but was turned down by Twitter's CEO Evan Williams. Today's rumor comes from a "normally reliable source" who told Arrington that "Apple is in late-stage negotiations to buy Twitter and is hoping to announce it at WWDC in June."
Despite the popularity of Twitter, the service hasn't figured out a way to make a profit, and is strictly powered by venture capital at this point. Can any TUAW readers think of a reason why Apple should buy Twitter? Leave us a comment!
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Reader Comments (Page 1 of 4)
glad said 2:14PM on 5-05-2009
I cannot think of one possible good reason why they might want to burn $700 (only worth $50-$100m tops) on Twitter serves no purpose better off keeping the money on deposit.
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Frank said 7:44PM on 5-05-2009
to everyone who can't understand (1) why twitter is worthwhile and worth so much and (2) why apple would be interested in it, here's the deal: it's a real-time, searchable snapshot of what a ton of people are interested in. any company would give that much money to have that kind of data.
trainwrecka said 3:11PM on 5-06-2009
Those companies will have to learn how to search OMG ROFL speak.
Seph2409 said 7:19AM on 5-07-2009
That's a good point Frank, but Twitter is freely searchable by anybody, you don't have to buy the whole service to search it!
Are you suggesting that if Apple bought Twitter they'd close the search function so they can use it only themselves or license it out?
Will Scott said 3:05PM on 5-05-2009
I think this post from the Guardian puts it well: http://www.guardian.co.uk/technology/blog/2009/may/05/apple-twitter-acquisition-surely-not
I can see no reason why this would be true. If it is then Apple really have lost it - given that they don't use the service themselves!
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Slauncha Man said 2:17PM on 5-05-2009
Apple's just busy trying to fit the proposal into 140 characters or fewer.
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Alan Wilensky said 2:18PM on 5-05-2009
Apple will buy twitter and relocate the company to that dilapidated Woodside mansion. Just putting it all together for you.
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Tyrannous said 2:21PM on 5-05-2009
This would be a sweet "Status" addition to the contact list for iphones only.
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emil said 2:28PM on 5-05-2009
Why would they need to buy Twitter to do this? If it's for iPhones only, they would more likely want to roll their own...
Jay said 2:26PM on 5-05-2009
arrington wants links. "x is buying twitter" is the new "x is buying digg"
what a farce.
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mabhatter said 10:30PM on 5-05-2009
twitter and digg are merging to buy Apple?
marcipano said 12:58PM on 5-06-2009
mabhatter: not only apple, but google too :)
lol said 2:32PM on 5-05-2009
Apple and Twitter? A rumor about something Apple wants to buy so there customers can spread other rumors about Apple via there own product? That sounds reasonable ...
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Andy S. said 2:32PM on 5-05-2009
I suspect that, if this is true, Apple probably has figured out a way that they can integrate this with MobileMe in a way that will help them attract more people to the MobileMe service as a whole. I don't quite know how they'd do it, considering that part of the reason that people like Twitter is that it's so open.
At any rate, Apple will have to play their cards right if this rumor is true... it'd be a shame to pay $700m for Twitter only to alienate the users and watch them flock to Bebo or Brightkite or Pownce or Loopt or any of the other services competing in that space.
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Simon said 2:48PM on 5-05-2009
Ahh, crap - scratch that. No it doesn't.
Simon said 3:53PM on 5-05-2009
ooops - 1password autofilled that previous response, that doesn't make any sense.
I was going to say that Pownce is dead.
Josh said 7:56PM on 5-05-2009
Yeah, someone beat me to it but a company bought Pownce a few months ago and shut it down.
Kento Ito said 2:34PM on 5-05-2009
Apple and Twitter = new feature in MobileMe, START FORKING OVER YOUR 99 DOLLARS FOR TWEETS!
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trainwrecka said 3:14PM on 5-06-2009
Or fork your money over to eBay and get MobileMe for dirt cheap. I got the FamPack for $70.
Richard. said 2:35PM on 5-05-2009
I would love to buy it... charge all users $1 a year... do the math (holy f*ck) that's a lot of money!
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