Twitter Raising Money At $0.20-Per-Tweet Valuation

Microblogging/messaging service Twitter, finally in search of a revenue model, is raising $20 million to keep the lights on in the meantime, MediaMemo reports, confirming an earlier report by TechCrunch. Specifically, the company is trying to raise $20 million at a $200 million to $250 million valuation. What’s that mean?

  • Twitter’s roughly 6 million users are worth about $40 each!
  • Twitter’s roughly 1 billion (probably 1.1 billion or more by now) tweets are worth about $0.20 each!

We realise this is a frivolous exercise, as investors are putting money into Twitter for what it could become someday, not as much for what it’s become already. But it’s still fun to put things in perspective.

Meanwhile, the new cash will let Twitter pay its tech bills (SMS charges, hosting, etc.) and hire more bizdev types to help new Director of Mobile Business Development Kevin Thau figure out how to make the famously revenue-free company a money maker.

Have an idea for Kevin and Twitter’s founders? Enter our “Create A Twitter Revenue Model” contest!

See Also:
Twitter Hires Business Guy Who Actually Knows Twitter
Announcing The Create A Twitter Revenue Model Contest
Twitter’s Web Traffic Growing Like A Weed

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