how is it that twitters takes in over 500million but loses 130 million net?

xandman said:
But that's retail and Twitter is, random brain farts with little mouth control. Kinda like us on ET.
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I do not think i can agree with you.
Twitter is much more than that. I do believe that it is overvalued but that is because all social networks seem overvalued... :D they are essentially middlemen and i am skeptical of middleman saturated markets...

But they do provide a service. To truly understand how twitter works you have to consider how it operates not as an inclusive network but as a cluster hopping network. It is kind of like a free marketing database type of thing that gives you live expressions that contain sentiment about various things.

The money to be made in twitter is moreso the off page money. Competing with google for add purchase? don't think so... What can they do? To understand this is difficult because so much of the services are essentially the same. The best thing about twitter is that you can use it to get a good range of the layer of relation below a trending topic... But of course... this requires data mining.

Twitter exists because it makes data... it sells nothing really.
 
Baron said:
Here are some fundamental problems I see with Twitter:
  • Even the people that you THINK you want to follow end up not being that interesting at all. They just post stupid comments and other useless ramblings.
  • The other issue is the 140 character limit. It's so short that nobody can post anything of substance except a sentence and a meaningless shortened URL to redirect people to wherever there is real content. So Twitter ends up being a weird middle man that doesn't really add anything to the equation.
  • They can't really sell ads against 140 characters of text, and they know this, so they are trying the pay-to-post route where certain ads appear like real tweets. But most people's feeds are already clogged up with so much useless crap from the people they are following that any promoted posts just get lost in the shuffle.
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You are not understanding the full potential, nor the mindset of the consumer.

You are thinking in terms of text... and desktop. Think in terms of mobile and graphics... but most importantly twitter can be used as a tool to directly increase the search value of some content you want to give form to.

Twitter is good for info graphs and resource links.
 
Freja Knudsen said:
Twitter is good for info graphs and resource links.
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I agree but here is the problem: THEY DON'T MAKE MONEY by doing that. Just because it's great for the consumer doesn't mean it's good for business.
 
Freja Knudsen said:
I do not think i can agree with you.
Twitter is much more than that. I do believe that it is overvalued but that is because all social networks seem overvalued... :D they are essentially middlemen and i am skeptical of middleman saturated markets...

But they do provide a service. To truly understand how twitter works you have to consider how it operates not as an inclusive network but as a cluster hopping network. It is kind of like a free marketing database type of thing that gives you live expressions that contain sentiment about various things.

The money to be made in twitter is moreso the off page money. Competing with google for add purchase? don't think so... What can they do? To understand this is difficult because so much of the services are essentially the same. The best thing about twitter is that you can use it to get a good range of the layer of relation below a trending topic... But of course... this requires data mining.

Twitter exists because it makes data... it sells nothing really.
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You seem to be the subset that "gets it". I may be underestimating the value of the data produced by this company. Given all the hype about big data analytics, the true potential has yet to be unlocked. I am not a fan of television, but look at the size of that economy.

While TWTR may not be able to produce growth for the "considerable future", I think it's value can be unlocked by being acquired by a bigger company with a depth of resources to employ.

I think TWTR will eventually be acquired by Microsoft much like Skype. That's my pump for the day.

Welcome to ET. Your off to a good start with insightful and productive posts.
 
how is it that twitters takes in over 500million but loses 130 million net?
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Its obvious isn't it? Its all those HFTs - High Frequency Twitters :-)
 
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