The Story Of Facebook And Twitter

Twitter was almost bought out by their rival Facebook a few years ago

, but the transaction never materialized because the Twitter wanted a lot more money than Facebook was offering at the time.

After the deal disappeared, Face book came out with an enhancement which allowed users to update their pages in real time. This has made Facebook a huge success, and their popularity is still growing by leaps and bounds.

Facebook may still buy Twiter at some point down the line, but for now Twitter needs to find a way to get revenue coming in. This is a challenge because of the ease and popularity of Facebook.

It is true that even though Twitter is not as big as Facebook, they have been growing too. However if they don't find a way to increase their cash flow, they may need to be bought out. They do not have the liquidity to continue to be a viable player if this keeps up.

Facebook, however, is not having any difficulty with finding ways to earn revenue, mainly by advertising. They now have much more resources available than they did a few years ago.

To a lot of people, this Twitter fad is nothing more than a blip in the history of human communication. The fact that the prime use of this technology is to update people all day long about every little thing they are doing all day long.

Both services share one common issue, and that is that a lot of people can care less about reading the details of everybody else's life throughout the day, but Facebook offers more than just posts.

If Twitter had any good business sense, they would try and sell off as soon as possible and run with the money because this fad will pass in the blink of an eye.

One of these days, people are going to collectively wake up and discover that there is more to life than reading about the lives of everybody else. So, the smartest move to make is to rake in the money now and find ways to be a viable and needed service in the future.

by: Penny Jacobi

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