Twitter Holding out For $1 Billion

TechCrunch broke the news this morning that Google is in talks with Twitter about an acquisition. Latest gossip from TechCrunch is that Twitter founder @Ev wouldn’t sell even for a valuation of $1 billion. That’s pretty crazy money considering the valuation of $250 million at their last round of financing. Twitter has exploded in the mean time, however, and the user count has been skyrocketing. People really love the service, despite plaguing downtime/slowdown issues.

Michael Arrington at TechCrunch has pointed out the real value in Twitter is the real-time nature of the data there. The world is immediate on Twitter and google-powered search on that medium would give google a huge competitive advantage to know what’s happening on the web. Google has long known that the formula for owning the thoughts and minds of web users is to own Search. It’s possible that they would value the huge competitive advantage of a Twitter acquisition as well north of $1 billion. I certainly don’t know, but it’s exciting to watch.

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