Twitter to raise $100 million, valuing it at $1 billion
September 25th, 2009 by acoleman
Today Twitter has reached a milestone. The real time micro-blogging site is set to raise $100 million, which will give the company a total valuation of $1 billion. A major achievement for a company that has yet to generate revenue.
Although Twitter has been criticized for not developing a business model, its value is clear. Microsoft, Google, and Facebook have all reportedly extended offers to acquire the company, which alone speaks volumes of its potential. It currently attracts 54 million visitors a month, and receives non-stop media attention.
The investors putting up the $100 million include Insight Venture Partners, T. Rowe Price, Institutional Venture Partners, Spark Capital and Benchmark Capital.
Getting traffic and media attention has not been a problem for Twitter. The issue is how do you turn that into money? One way is to allow advertising, which Twitter will reportedly be doing in 2010. Other than that, we will have to wait and see what other plans are in the pipe line for creating revenue.
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:Tags: T. Rowe Price, Twiter investors, Twitte revenue, twitter 1 billion, Twitter cash, twitter investor, twitter investors, Twitter loaded, Twitter value
