Analysts have predicted that in the next 12 months Twitter’s revenue is set to explode. The huge microblogging service generates a large portion of its income from advertising and in 2011 this has been tipped to triple.
Twitter has become a very powerful and popular site for users but has failed to stand up with the likes of Facebook and Google, although the site has been steadily improving. Computer Weekly has announced that Twitter’s 2010 revenue of about $50 million will triple this year to a staggering $150 million. With their advertising programme from last April, a number of advertisers such as Starbucks, Nissan and Hewlett-Packard have become interested.
The Business Insider has predicted that by 2012, Twitter would have quintupled its revenue to $250 million. The microblogging service has already spoken of its intention to become as big as its social networking rival Facebook; however, they still have a long way to go.
Facebook has more than 600 million active users in comparison to Twitters 175 million, and Facebook’s revenue is in the region of $800 million. Twitter has been valued at $3.7 billion, where Facebook has been estimated at around $50 billion.
In order to go head to head with Facebook, Twitter needs to increase their user base and demonstrate adverts placed on their pages are effective. If these predictions are correct it should set Twitter on its way to becoming a dominant force on the social scene.
Let us know your thoughts on Twitter’s growth and if you think they can become bigger than Facebook?
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