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Black Rectangle Review

Technically Speaking: So, How Much is Twitter Really Worth?


For some reason a WSJ writer decided to try to determine if Twitter is worth $10 billion, thought it was last valued at $9 billion by the Blackrock Group. He spent some time wading through the hype and financials of the social network.

I spent the last week trying to write a column that…

I never understood where WSJ dreamed up that figure, just because one investment group is gambling on huge success with Twitter. It makes sense that Blackrock says “oh yeah, its worth a mint," because they’re putting money on the line and want other investors to come along and do the same.

I am, by no means an average twitter user, but I do fit some of the demographics of one. Let’s see: I follow almost no brands (certainly no major ones) and make a bunch of silly comments. How in the world is that worth $4 a month to their advertisers? Yes, I see promoted tweets, but I’ve never clicked on one. Never.

Sure there are firms out there who want to be “in the discussion", and some startups do great support over twitter, but none of those things are worth the amount that Twitter seems to believe it is.

Even though its far from ‘traditional reporting’, go check out Cracked’s article on "Why McDonald’s has the most insane Twitter account" and see if twitter, as a big brand, makes any sense.