Twitter Valuation Triples, In The Last Year

Twitter has over 175 million users and remains one of the worlds fastest growing social media websites. But in spite of this success, generating profits has long proved to be a major challenge and the company only recently turned to advertising.

At a conference in San Francisco, Evan Williams, founder and ex-CEO of Twitter, told reporters and social media types that Twitter had plenty of money saved in its account and that an effort to raise advertising revenue through a marketing and a fund-raising campaign turned out to be a success.

Twitter had selected around 15 advertisers. The advertisers were invitation only. Only multibillion dollar corporations were selected. One of the companies selected was Coke. After Coke purchased the second ever “promoted tweet“, it saw 85 million impressions in the first 24 hours, on the link given!

However most of Twitter’s growth, to date ,has been driven by venture capital: Twitter raised $100 million in new funds last September. If a new fund-raising campaign is launched and a similar amount of money is collected, Twitter’s overall dollar value would now rise to an estimated $3 billion.

The social media websites current valuation is already noticeably higher than it was just over 12 months ago, when investors estimated that Twitter was worth around $1 billion.

But Twitter is now a more attractive investment option for major investors. According to media reports, DST Global, a firm based in Russia is considering investing into the social media website.

Rumors in the market are that there might be a tie-up between Facebook and Twitter, as the two companies seem to have complementary offerings. However these remain unconfirmed rumors.