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Who to Follow “TWITTER ANALYSIS PROJECT”


Angelo DeMarco @ProductManager
Linus Erkenswick @ExecS&W Coming November 18, 2016!
Thomas Frost @PublicRelations
Frankie Izzo @CultureChief
Meg Longwell @FinanceExpert
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Table Of Contents

-Mission Statement …………………….. 3


-About Twitter ………………………….... 4-5
-Financial Highlights ………………….... 6-10
-TWTR Stock History …………………... 11-13
-Organizational Culture ………………… 14-20
-Strengths & Weaknesses ……………… 21-24
-CEO Performance Assessment …….... 25-33
-CEO Future ……………………………… 34-35
-Acquisition Recommendation ………… 36-40
-Twitter’s Future …………………………. 41-43
Mission

“To give everyone the power to create and share ideas and
information instantly, without barriers.”

“Twitter is live: live commentary, live connections, live conversations.”-Jack Dorsey,


Fortune (Holly Leowitz Rossi, 7 core values statements that inspire, fortune.com, March 2015).

“Our mission statement puts our users first and defines our clear purpose—to give everyone
the ability to be heard, seen, and share their thoughts and experiences as they happen.”-Brian
Schipper, vice president of human resources, Fortune (Erin Griffith, How the media-juggernaut-turned-train-
wreck is getting back on track after a rough two years, fortune.com, March 2016).

“It is our compass when we’re building the platform and developing new products and
policies. We want to empower individuals and be a force for good in the world.”-Brian
Schipper, Fortune (Erin Griffith, How the media-juggernaut-turned-train-wreck is getting back on track after a rough two
years, fortune.com, March 2016).
About Twitter

Executives -
❏ CEO = Jack Dorsey
❏ COO = Anthony Noto
❏ CFO = Anthony Noto
❏ CTO = Adam Messinger
❏ CMO = Leslie Berland
❏ CAO = Robert Kaiden

Offices -
Headquarters: 1355 Market Street, Suite 900,
San Francisco, CA 94103
12 Additional US Offices
35+ Global Offices

Information from: https://about.twitter.com/company


About Twitter

❏ Monthly Active Users →


313,000,000
❏ Visits to Sites from Embedded
Tweets → 1,000,000,000
❏ Active Users on Mobile Devices →
82%
❏ Employees Around the World →
3,860
❏ Accounts Outside of the US →
79%
❏ Languages Supported → 40

Information from: https://about.twitter.com/company


Financial Highlights: Revenue

-Twitter showed a
steady growth in
Revenue throughout
2015.
-Revenue showed a
significant drop in Q1
of 2016, and is still
recovering.

Information from nasdaq.com, finance.yahoo.com, and investor.twitterinc.com


Financial Highlights: Net Income

-Twitter showed a
steady growth in Net
Income throughout
2015.
-Net Income showed a
significant drop in Q2
of 2016, and is still
recovering.

Information from nasdaq.com, finance.yahoo.com, and investor.twitterinc.com


Financial Highlights: Expenses

-Twitter’s Operating
Expenses declared in
2015 and 2016
included cost of goods
sold, research and
development, sales and
marketing, and
general administrative.
-Expenses saw a
decrease in Q1 2016,
but other than that,
have been trending
upwards.

Information from nasdaq.com, finance.yahoo.com, and investor.twitterinc.com


Financial Highlights: Competitors Revenue

-Twitter’s largest
competitors are
Facebook, Instagram,
and Snapchat.
-Facebook Inc. owns
both the Facebook and
Instagram platforms.
-Snapchat, owned by
Snap Inc., will not
make an IPO until
2017.

Information from nasdaq.com, finance.yahoo.com, investor.fb.com, microsoft.com/en-us/investor, phx.corporate-ir.net/phoenix.zhtml%3Fc%3D97664%


26p%3Dirol-irhome (Amazon Inc Investor Relations), Investor.apple.com, abc.xyz/investor, and investor.twitterinc.com
Financial Highlights: Competitors Net Income

-Twitter’s largest
corporate competitor
is Facebook Inc.,
whose net income is
not much higher than
Twitter’s.
-Apple Inc. showed a
significant increase in
Q4 2015 because of
their increased holiday
sales.

Information from nasdaq.com, finance.yahoo.com, investor.fb.com, microsoft.com/en-us/investor, phx.corporate-ir.net/phoenix.zhtml%3Fc%3D97664%


26p%3Dirol-irhome (Amazon Inc Investor Relations), Investor.apple.com, abc.xyz/investor, and investor.twitterinc.com
Stock History

-Twitter stock price


fell in October of 2016
after it was revealed
that likely buyer,
Alphabet Inc., would
not be acquiring
Twitter.
-Alphabet Inc., is the
owner of Google,
who's growing social
platform, Google+, is
considered to be a
competitor for
Twitter.

Information from nasdaq.com and finance.yahoo.com


Stock History: Competitors

-Twitter has the lowest


stock price out of its
competitors, but the
highest average daily
share volume.
-The stock itself is
worth less than its
competitors, but it is
traded more often.

Information from nasdaq.com and finance.yahoo.com


Stock History: Comparison

Information from nasdaq.com and finance.yahoo.com


Organizational Culture

Innovation and Risk-Taking: employees are encouraged to be innovative and take risks (Stephen P.
Robbins and Timothy A. Judge, Organizational Behavior, Pearson, 16th Edition, Pg 465).

“We believe innovative feature and offerings to drive user engagement and attract new users will be the
key factor for Twitter’s future growth”(Why Innovation is Key For Twitter, Forbes, Nov. 2015).

“Project Lightning is an exciting innovation by Twitter, and we expect this to increase user
engagement”(Why Innovation is Key For Twitter, Forbes, Nov. 2015).
Organizational Culture
Attention to Detail: employees are expected to exhibit precision, analysis, and attention to detail (Stephen P.
Robbins and Timothy A. Judge, Organizational Behavior, Pearson, 16th Edition, Pg 465).

“As Twitter’s first CEO, Dorsey was initially known as a detail-obsessed micromanager”
(Sarah Frier, Jack Dorsey is Losing Control of Twitter, Bloomberg, Oct. 2016).

Detailed Steps to make people come back


1. Showing users customized timelines based on their interests
2. More live content like the football games and presidential debates
3. Developing more relevant push notifications to entice viewing
4. Clean up harassment on the platform
5. Converting non-regular users who show up to view particular tweets into more regular users (Garett Sloane,
Twitter’s Big Job Cuts Fall Heavily an Ad Sales Team. Here Are Its Other Big Bixes, Advertising Age, Oct. 2016).
Organizational Culture

Outcome Orientation: management focuses on results or outcomes rather than on the techniques and
processes used to achieve them(Stephen P. Robbins and Timothy A. Judge, Organizational Behavior, Pearson, 16th Edition, Pg 465).

“Employees come to Twitter primarily because they want to make a difference in the world”
(Michal Lev-Ram, Twitter’s most Tweet-worthy perks, Fortune, Mar. 2015).

“As a result of this very public round of possible sales talks, the Twitter management team has shown
shareholders desperate for an acquisition that it has seriously considered a sale”
(Nathan Sinnott, Twitter: The Company No One Wants To Buy, Entrepreneur, Oct. 2016).

“Twitter has this amazing ability to make the world feel a whole lot smaller, even though you're not
physically next to someone, and you're actually experiencing the same thing, even though you're not aligned.
It feels like true, true connection” (Sarah Frier, Felix Gillette, and Brad Stone, The Future of Twitter: Q&A with Jack Dorsey, Bloomberg,
Mar. 2016).
Organizational Culture

People Orientation: management decisions take into consideration the effect of outcomes on people
within the organization (Stephen P. Robbins and Timothy A. Judge, Organizational Behavior, Pearson, 16th Edition, Pg 465).

“Rooftop meetings, friendly coworkers and a team-oriented environment in which each person is motivated
by the company’s goals have inspired that praise”(Sajan Patel, 10 Examples of Companies With Fantastic Cultures, Entrepreneur,
Aug. 2015).

“Working with other smart people. Workers rave about being part of a company that is doing something that
matters in the world, and there is a sense that no one leaves until the work gets done”(Sajan Patel, 10 Examples of
Companies With Fantastic Cultures, Entrepreneur, Aug. 2015).

“Visits from a steady stream of celebrities and a rooftop deck with killer views also helps attract and retain
employees”(Michal Lev-Ram, Twitter’s most Tweet-worthy perks, Fortune, Mar. 2015).
Organizational Culture
Team Orientation: work activities are organized around teams rather than individuals (Stephen P. Robbins and
Timothy A. Judge, Organizational Behavior, Pearson, 16th Edition, Pg 465).

“CEO Jack Dorsey’s year-old turnaround effort: Tweaks to the product, the business model and the leadership
team have had nominal impact” (Steve Tabok, Why Twitter Should Fire Jack Dorsey, FoxBusiness, Sept. 2016).

“The board has been pleased and impressed with the strategy, vision and alignment around goals coming from
the Twitter teams these last few months, and there is much more the world hasn’t seen just yet”
(Sarah Frier, Jack Dorsey is Losing Control of Twitter, Bloomberg, Oct. 2016).
Organizational Culture

Aggressiveness: people are aggressive and competitive rather than easygoing (Stephen P. Robbins and Timothy A.
Judge, Organizational Behavior, Pearson, 16th Edition, Pg 465).

“The key competitive advantage of Twitter is its real time news, and its ability to spread this over a wider
audience”(Why Innovation is Key For Twitter, Forbes, Nov. 2015).

“We’re getting more disciplined about how we invest in the business, and we set a company goal of driving
toward GAAP profitability in 2017”(Kurt Wagner, Twitter Will Cut 9 Percent of its workforce, or roughly 350 people, Recode, Oct. 2016).

“We intend to fully invest in our highest priorities and are de-prioritizing certain initiatives and simplifying
how we operate in other areas”(Kurt Wagner, Twitter Will Cut 9 Percent of its workforce, or roughly 350 people, Recode, Oct. 2016).
Organizational Culture

Stability: organizational activities emphasize maintaining the status quo in contrast to growth
(Stephen P. Robbins and Timothy A. Judge, Organizational Behavior, Pearson, 16th Edition, Pg 465).

"It's just an incredible story of underachievement — of potential that was never realized,"(Alex Heath, Early Twitter
investor Chris Sacca says he's disappointed with the company and wants it to sell, Business Insider, Oct. 2016).

"I'd be really excited for someone with some product vision to go in there and take some chances" (Alex Heath,
Early Twitter investor Chris Sacca says he's disappointed with the company and wants it to sell, Business Insider, Oct. 2016).

“Since Dorsey was appointed CEO last year, Twitter's stock has fallen as much as 50%”
(Alex Heath, Early Twitter investor Chris Sacca says he's disappointed with the company and wants it to sell, Business Insider, Oct. 2016).
Company Strengths
Online advertising- 2 SME’s agree
“An example of our efforts is our partnership with Google and the integration with their DoubleClick Campaign
Manager (DCM) to help advertisers better understand the impact of Twitter ads across both desktop and mobile”
(Garett Sloane, Twitter says it’s seeing less demand from advertisers, Social media rivals putting pressure on the business, Adage, July 2016).

Live streaming video experience- 4 SME’s agree


“Bloomberg LP, the parent company of Bloomberg News, has an agreement to stream some televised events, such
as the presidential debates” (Sarah Frier, Twitter beats revenue, user estimates and cuts 9% of workforce, October 2016).

“Twitter this week announced a new application that will offer free content on major streaming TV services” (Twitter
Kicks off US football game streams, Phys.org, September 2016).

“..a string of other deals in sports, politics and entertainment, centered on making Twitter accessible to a wider
audience through live video they can watch for free. The first NFL game drew 2.3 million users, and the next one
got 2.4 million, hinting at the potential for a growing audience, according to the company” (Sarah Frier, A year after his
return as CEO, live-streaming and new products haven’t revived growth, BloombergTechnology, October 2016).
Company Weakness
7 SME’s agree that Twitter has suffered since the return of CEO Jack Dorsey

“Speculation that Twitter is ripe for a sale has been swirling for months as the company has failed to lure new
users, leading to several quarters of stagnant growth and a plummeting stock” (Twitter surges on report It’s said to be closer to
sale, Adage, September 2016).

“Twitter’s share price has fallen by half since Mr Dorsey returned, to around $18” (Print Edition, Twitter in retweet, Is it too
late for the social-media firm to become the giant that people once expected?, Economist, September 2016).

“The lack of growth in users and engagement underscore that Jack’s initiatives thus far haven’t really been
effective” (Sarah Frier, A year after his return as CEO, live-streaming and new products haven’t revived growth, BloombergTechnology, October 2016).

“One must ask if a part-time CEO is allowing Twitter to operate at its maximum potential” (Sarah Frier, Twitter beats
revenue, user estimates and cuts 9% of workforce, October 2016).
Company Weakness Continued

5 SME’s agree that Twitter is the ideal platform to facilitate harassment and bullying

“Anonymity and the ability to message anyone on the site, although essential to Twitter's nature, enable
harassment” (Noah Sims, Trolls are Crippling Twitter, November, 2016).

“The bullying tactics on Twitter were what made cloud computing company Salesforce.com (CRM)
back away from making a bid for Twitter in October, despite CEO Marc Benioff's interest in it” (Natalie
Walters, Twitter to 'Become a Target Again' With a Cleaner Platform: More Squawk From Jim Cramer, TheStreet, November, 2016).

“Twitter’s user growth has stalled and the company still hasn’t addressed one of its big problems -- the
hate speech filling the site” (Alex Eule, Twitter’s plant for Growth; Layoffs, Barrons, Oct. 2016).
Strengths and Weaknesses
Twitter’s weakness as of now outweighs its strengths:
“Twitter is simply too bruised and battered to have a distracted part-time chief executive” (Shira Ovide,
Twitter keeps finding ways to look dysfunctional, Bloomberg, Nov. 2016).

“One must ask if a part-time CEO is allowing Twitter to operate at its maximum potential” (Sarah Frier,
Twitter beats revenue, user estimates and cuts 9% of workforce, Oct. 2016).

“Twitter is looking to be more efficient about spending as growth slows, especially as employee
compensation becomes more of a burden amid a falling stock price. Analysts don’t expect the company
to be profitable on a quarterly basis until sometime in 2018” (Sarah Frier, Twitter beats revenue, user estimates and cuts
9% of workforce, Oct. 2016).

“Twitter is a company you could mine what individuals want on behalf of corporations," CNBC's Jim
Cramer said, "but instead it's a trash talking site about Kim Kardashian and whether the Thursday night
football game is any good” (Berkeley Lovelace Jr., Expect twitter acquisition to wreak havoc on buyers stock, CNBC News, Oct. 2016)
.
CEO Performance Assessment

Unsatisfactory
Declining Growth: Revenues
● “Revenue rose 8.2% to $615.9 million, its smallest gain and ninth straight period of declining growth” (Dow Jones
Business News, Twitter to Cut Workforce as Revenue Growth Slows, Nasdaq, October 2016).

● “Twitter is to make between 300 and 350 staff redundant in a bid to staunch the company's financial losses”
(Graeme Burton, Hundreds pink-slipped at Twitter as firm moves to staunch losses, theinquirer, October 2016).

● “Twitter continues to be a loss-making company. It posted a GAAP net loss of $103 million, or $0.15 a share”
(Lara O’Reilly, Twitter beats on revenue and earnings but confirms layoffs, Business Insider, October 2016).

● “Revenue rose just 8.2%, compared with over 50% growth in the year-ago quarter” (Deepa Seetharaman, Twitter to cut 9%
of workforce as revenue growth slows, The Wall Street Journal, October 2016).
(Shira Ovide, Twitter Needs a Full-Time CEO, BloombergGadfly, October 2016).
CEO Performance Assessment

Unsatisfactory
Declining Growth: Stock
● “Shares of social network Twitter (NYSE:TWTR) tumbled 22.1% in October” (Timothy Green, Why Twitter Stock Dropped
22% in October, Motley Fool, November 2016).

● “Whoever ends up running things at Twitter needs to get it growing again, and at a fast pace. Try as they might,
that just doesn’t appear to be possible with Twitter stock” (Dan Burrows, Twitter Inc (TWTR) Stock Needs a LOT More Than
Activist Aid, InvestorPlace, November 2016).

● “Throughout the day on Wednesday, Twitter stock fell by as much as 4%, devaluing it’s already declining stock
price” (Lucas Nolan, Twitter Stock Falls Following COO Departure, Breitbart, November 2016).

● 52-Week Change: -24.68% (Yahoo! Finance, November 2016).

● “Twitter shares have declined 18 percent this year” (Erik Schatzker and Shaji Mathew, Saudi Prince Alwaleed Says Twitter CEO
Dorsey Needs More Time, BloombergMarkets, November 2016).

27
(Shira Ovide, Twitter Needs a Full-Time CEO, BloombergGadfly, October 2016).
CEO Performance Assessment

Unsatisfactory
Declining Growth: Net Losses
● “It would cut 9% of its workforce or about 350 people in an effort to cut costs and inch closer to profitability”
(Trefis Team, With Earnings, Twitter To Cut 9% Jobs As Revenue Growth Continues To Slow, Forbes, October 2016).

● “With Twitter struggling to become profitable - and after the news that the company would cut about 350 jobs,
or 9 percent of its work force - Vine said in a Medium post on Thursday that it would close down in the coming
months” (Katie Rodgers, Vine is Closing Down, and the Internet Can’t Stand it, The New York Times, October 2016).

● “Through the first nine months of 2016, Twitter has already generated an operating loss of $224 million and a
net loss of $290 million” (Adam Levy, Will Twitter's Plan to Turn a Profit in 2017 Work?, The Motley Fool, November 2016).
CEO Performance Assessment

Unsatisfactory
Declining Growth: Net Losses Cont.

● Annual: Net loss of $450,036 million in 2015 (Yahoo! Finance, November 2016).

● Quarterly: Net loss of $102.87 million in 3Q 2016 (MarketWatch, November 2016).

● Profit Margin: -15.06% (Yahoo! Finance, November 2016).

● Until a company is profitable, I find it difficult to give any CEO a rating of exceptional or good. So I would rate
his performance as unsatisfactory (George Senick, Loyola University Chicago, November 2016).
Twitter has never recorded positive operating income in its history

(Shira Ovide, Twitter Needs a Full-Time CEO, BloombergGadfly, October 2016).


CEO Performance Assessment
Unsatisfactory
Declining Growth: Expenses/Costs

● “Twitter has not been able to turn a profit in its history and one of the primary reasons for that has been its high
stock-based compensation expenses” (Trefis Team, With Earnings, Twitter To Cut 9% Jobs As Revenue Growth Continues To Slow, Forbes,
October 2016).

○ “Twitter ranks second among the larger tech companies in terms of stock-based compensation expenses,
which were equal to about 26% of the company’s total revenue in the first nine months of 2016” (Trefis
Team, With Earnings, Twitter To Cut 9% Jobs As Revenue Growth Continues To Slow, Forbes, October 2016).

● “Year-over-year worldwide downloads of the Vine app declined 55 percent in Q3 across both the Apple App
Store and Google Play” ( Sarah Perez and Katie Roof, Twitter is Shutting Down Vine, TechCrunch, October 2016).

● “Additionally, management decreased its investment in research and development. R&D expenses are down
14% through the first nine months of 2016, after declining 15% last quarter” (Adam Levy, Will Twitter's Plan to Turn a Profit
in 2017 Work?, The Motley Fool, November 2016).
Twitter has cut back spending on research and development but increased costs for
general and administrative functions.

(Shira Ovide, Twitter Needs a Full-Time CEO, BloombergGadfly, October 2016).


CEO Future
Terminate Jack Dorsey: 16/19 SMEs
● “Longtime investor Bill Miller called it "insane" for Dorsey to be leading two companies at once. Intriguingly, he
also seemed to issue a veiled threat to Twitter's board to get a CEO with just one job -- presumably either Dorsey
or someone else” (Shira Ovide, Twitter Needs a Full-Time CEO, BloombergGadfly, October 2016).

● “It is insane to have Jack Dorsey be a part-time CEO at a company with the issues that Twitter has… If a part-
time CEO makes sense, then so does a part-time CFO, part-time chief technology officer. That just makes no
sense whatsoever” (Christine Wang, Investing legend Bill Miller says it's 'insane' for Twitter to have a part-time CEO, CNBC, October 2016).

● “Jack Dorsey has either ceded or lost at least some control over the future of the company he helped create” (Sarah Frier,
Jack Dorsey Is Losing Control of Twitter, BloombergTechnology, October 2016).

● “Twitter chief operating officer Adam Bain is stepping down in the latest shake-up at the troubled internet
company” (Alex Heath, Twitter COO Adam Bain is stepping down and being replaced by CFO Anthony Noto, Busniess Insider, November 2016).
CEO Future
Retain Jack Dorsey: 3/19 SMEs
Q3 revenue: $616 million, up 8% year-over-year — versus $605.84 million expected by analysts.

Q3 EPS (adjusted): $0.13 — versus $0.09 expected by analysts.

Q3 monthly active users: 317 million, up 3% year-on-year.

Q3 daily active users: Up 7% year-on-year.


(Lara O’Reilly, Twitter beats on revenue and earnings but confirms layoffs, Business Insider, October 2016).

“Saudi billionaire Prince Alwaleed Bin Talal said Twitter Inc.’s chief executive officer needs more time to turn around
the micro-blogging site.” (Erik Schatzker and Shaji Mathew, Saudi Prince Alwaleed Says Twitter CEO Dorsey Needs More Time, BloombergMarkets,
November 2016).

“I doubt if someone else could be doing a better job, given the social media landscape Twitter exists in. So my answer
is to give him some more time to try to turn the financials (earnings) positive” (George Senick, Loyola Uinversity Chicago, November
2016).
6 SME’s See Twitter as Acquisition
Target

In Common Service Line/relevant/helpful

● “... Highly relevant as a real-time medium during news cultural events...” (Kathleen Chaykowski, Twitter Shares Plummet
On Slowing Revenue Growth, Weak Outlook, forbes.com, July 2016).

● “Has a hefty social network of 313 million users” (Salvador Rodriguez, What Is Twitter Worth? Wall Street Mulls Acquisition
Value as Dorsey Enters Year 2 on the Job, inc.com, September 2016).

● “Twitter is a famous name and that's probably the best thing they've got." (Salvador Rodriguez, What Is Twitter Worth?
Wall Street Mulls Acquisition Value as Dorsey Enters Year 2 on the Job, inc.com, September 2016).

● “Salesforce executive Vala Afshar tweeted out a short breakdown of "Why Twitter?" on Friday morning,
highlighting the company's network, real-time news, and promotional platform as reasons the enterprise
company would be interested.” (Steven Tweedie and Steve Kovach, Twitter stock skyrockets on report that Google and Salesforce are
interested in buying the company, Business Insider, September 2016).
6 SME’s See Twitter as Acquisition
Target Continued

Financially Doable
● “Twitter is currently ‘cheap’” (BayesianLearner, Let's Stop With The Twitter Acquisition Talk, seekingalpha.com, March 2016).

● “At a valuation of $11.2 billion […] it’s a relatively cheap buy” (Don Reisinger, Twitter Is An 'Inevitable' Social Network
Acquisition, fortune.com, June 2016).

● “Japan’s Softbank, which has previously stated interest, has money to spend and incentives to acquire it.”
(Marc Prosser, Why Japanese Telecom Giant SoftBank Could Buy Twitter, forbes.com, October 2016).
9 SME’s Do Not See Twitter as
Acquisition Target
Not a Profitable Target

● “Has yet to turn any profits” (tech2 News Staff, Ten years on and Twitter’s yet to turn a profit, submits plan to turn things around,
tech.com, March 2016).

● “... Company is unprofitable, its revenue growth is slowing, and it’s having trouble attracting as many
users...” (Don Reisinger, Twitter Is An 'Inevitable' Social Network Acquisition, fortune.com, June 2016).

● “Negative $812 million in economic earnings over the last twelve months. (Great Speculations, Alphabet Should Pay
No More Than $1.1 Billion For Twitter, forbes.com, June 2016).

● “... Has no private market value at all.” (Peter Cohan, Why Disney, Salesforce, and Google Think Twitter Is Overvalued, forbes.com,
October 2016).

● "Salesforce, along with all the other possible buyers of Twitter, saw the prices of its shares drop ever since
being attached to the potential purchase of the social media platform. After the decision to pass on making a
bid for Twitter was revealed, the companies all saw their stock prices inch back up” (Aaron Mamiit, Twitter Stock Falls
As Potential Buyers Lose Interest In Acquisition: What's Next For The Social Media Platform?, Tech Times, October 2016).
9 SME’s Do Not See Twitter as
Acquisition Target Continued

User Base is Lacking and Corrupt

● “Declining users this year” (Adam Levy, Can Twitter Solve Its Engagement Problem?, fool.com, April 2016).

● “... Increasingly being overshadowed by other players...” (Kathleen Chaykowski, Twitter Shares Plummet On Slowing
Revenue Growth, Weak Outlook, forbes.com, July 2016).

● “Twitter still struggles to rope in new users” (Salvador Rodriguez, What Is Twitter Worth? Wall Street Mulls Acquisition
Value as Dorsey Enters Year 2 on the Job, inc.com, September 2016).

● “...Twitter is a toxic brand.” (Peter Cohan, Why Disney, Salesforce, and Google Think Twitter Is Overvalued, forbes.com, October
2016).
9 SME’s Do Not See Twitter as
Acquisition Target Continued

User Base is Lacking and Corrupt Continued

● “User count has been at a plateau for years now” (Salvador Rodriguez, What Is Twitter Worth? Wall Street Mulls Acquisition Value
as Dorsey Enters Year 2 on the Job, inc.com, September 2016).

● “Although there are millions of users posting valuable content on the social network, there are also countless
accounts that are spam, bots, or worse--trolls who harass others or terrorists who use the platform to spread
their propaganda” (Salvador Rodriguez, What Is Twitter Worth? Wall Street Mulls Acquisition Value as Dorsey Enters Year 2 on the Job,
inc.com, September 2016).
Twitter’s Future
“I think twitter is still a popular company with room to grow. They have started to venture
into live sports streaming where there is a lot of potential for growth. Many people would
rather stream games they want than continue to pay for a bunch of tv channels just for a
few extra games a week. They have already won bids for NFL games this season and had
great success with those games bringing in 243,00 viewers per minute and 2.1 million
viewers total. CBS and NFL Network also had the game and combined for 15.4 million
viewers. This is the NFL’s first venture into streaming games and it still has a lot of
potential for twitter. Twitter’s stock rebounded by 4% as a result of this deal as well.” -
Tom Frost (Statistics from: Ahiza Garcia, The ratings are in for Twitter's NFL stream,
money.cnn.com, September 2016).

"I think that Twitter has a successful future ahead of them, although there is much work to
be done to pave the way to success and profitability. Jack Dorsey though playing a strong
role at the company may do very well from leaving the company to focus on Square, Inc.
With twitter having the time and leadership to focus on live video and online advertising I
believe it will only become more popular." -Linus Erkenswick
Twitter’s Future

“In the future I believe that the general population, especially young adults, will become
more defensive of their personal information and opinions being easily accessible online.
As a result, see twitter possibly declining in the means of personal life, but it could
potentially become useful as a marketing or professional platform.” -Francesca Izzo

“Too many people doubting the company's success. This will lead to stockholders
withdrawing stock out of fear of losing money. Twitter will lose the majority of its
customers because the social media platform will develop into informational tweets rather
than personalized tweets. Without personalization, the most prominent tech savvy
individuals, Millennials and Centennials, will disband this form of social media.” -Angelo
DeMarco
Twitter’s Future

“As of right now, twitter is an integral part of most people's lives. It's where we get our
news, keep up with sports scores, check in with our favorite celebrities, or just hear what
our friends are thinking. Twitter is currently a profitable and unparalleled social media
platform in today's cultural landscape, but our cultural landscape, especially when it comes
to technology, is changing at a rapid rate. After analyzing the twitter stock and financial
highlights for this project, my conclusion is that Twitter's earnings, as well as its stock
price, have been decreasing over the last couple of years, and will continue to do so in the
future. Twitter could continue to adapt to match whatever climate comes in the future, but
its financials show that it's not currently doing that. If twitter continues at its current pace,
its future may not be as bright at it seems.”
-Meg Longwell
“Make every detail perfect,
and limit the number of
details to perfect” - Jack
Dorsey

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