Twitter now worth $1 billion

At first many shared the same opinions about Twitter, when it launched. Even I asked myself how much more absurd could the idea of modern communication get.

However, millions of people around the world embraced this new way of letting friends and colleagues know what they are doing. Soon it seemed that everyone with a phone and a laptop computer began posting these short text-like status updates. One can post texts up to 140 characters in length and contribute to this new medium of exchanging information.

Last week the blog TechCrunch first reported about this new gargantuan value of Twitter, but this morning, The Wall Street Journal added more details about the latest fund raiser of $100 million in investments.

Now this small, San Francisco based, start-up, booted in March of 2006, has reached a monetary value of $1 billion, as estimated by investors. Although the fashionable micro-blogging site continues to raise millions in financing, it doesn't need the cash. Only recently it raised $55 million, but the company states it has spent less than half of it. Yet, they have big plans to overtake Facebook in terms of number of users. Marc Zuckerberg's successful keeping-in-touch-with-friends platform user base reached 300 million a short time ago.

Although Twitter, as a company, still doesn't generate any revenue, there are plans for premium services targeted at businesses. Advertising deals in some form are currently under discussions. It remains a gamble, yet a fascinating one. The biggest question everyone is asking, of course, is whether they can pull it off.

You can find Neowin on Twitter @NeowinFeed

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