Twitter is reportedly for sale, to anyone with a spare $16 billion in the war chest. Already Disney, Google and a plethora of media businesses are rumoured to be considering the acquisition, although there are no formal bids on the table.
Twitter has become something of an anomaly over the last few years, with growth stalling despite its well deserved reputation as a social media cornerstone. Jack Dorsey, CEO of Twitter hasn’t confirmed anything, however the rumour mill in Silicon Valley is notoriously accurate and it is unlikely that Twitter wouldn’t at least consider the option of selling, based on pressure from shareholders.
Unlike the Yahoo acquisition by Verizon, the Twitter merger would likely be a significant momentum booster for whichever business chose to take it on. Disney’s stock rose significantly after rumours of a potential Twitter purchase were announced, with analysts still bullish about the potential for the short form platform to return to its former, and very recent, greatness.
The only problem Twitter is experiencing is a lack of growth and the only metric that matters to social media analysts – users. While it’s active users are very active, the next generation of online communicators have been slow to sign up, instead choosing more video based platforms like Snapchat.
Periscope, Twitter’s attempt at seducing these videophiles is an excellent platform, that hasn’t offered the momentum that it should have, yet.
And this is Twitter’s biggest problem, it doesn’t really have any problems. It does everything right, people like it and people use it. It has a high user base, straightforward usability and excellent reliability. The issue is, that nobody has been able to pinpoint exactly why users are choosing other platforms, other than the preference towards video.
If the rumours are true – and they probably are, a purchase could happen sooner rather than later. According to CNBC, Twitter may be in someone else’s hands within the next month. Hopefully, that new owner will see something that Twitter founders, executives and board members haven’t been able to pinpoint.