Twitter turns a profit for 2009

Microsoft and Google deals put micro-blogging service in the black.
Twitter co-founder Biz Stone.
Twitter co-founder Biz Stone.

Share

Twitter will make a small profit in 2009 after signing two major search deals with Google and Microsoft, a source close to the company has said.

The two deals will see Twitter become searchable with the Google agreement worth US $15 million and the tie-up with Microsoft’s Bing search engine valued at $10 million.

“The deals were huge,” the source told Business Week. “With two scoops of the pen a lot of revenue came in.”

According to the source, Twitter has also renegotiated its arrangements with telecommunication companies in an effort to reduce costs. The company has been looking for a way to turn a profit since its launch in 2006, floating ideas such as premium business accounts for companies to use for marketing.

A number of wildly popular social networking sites including Facebook, have struggled to find a route to profitability despite frequently bloated company valuations.

In September 2009, Twitter raised $100 million in funding achieving a valuation of $1 billion in the process.

Most Popular

Editor's Choice

StarzPlay’s tech powers India’s Lionsgate Play
Provides managed services, developed by StarzPlay, to mark successful launch of Lionsgate Play ...
Subscribe to Digital Studio Middle East
The latest editor of Digital Studio Middle East, the foremost and most respected platform for ...
Dubai's Faisal Hashmi working on feature film
10 short films in 10 years has earned Faisal Hashmi international plaudits at film festival, ...

Don't Miss a Story