Twitter to Acquire TweetDeck for $40-$50 Million: Report

By Beecher Tuttle May 03, 2011

Twitter has agreed to purchase social networking application maker TweetDeck for between $40 and $50 million, TechCrunch reported, citing sources close to the situation. The transaction is expected to be announced in the next few days.

TweetDeck was in the news back in February when a variety of news sources reported that Bill Gross's UberMedia had all but acquired Twitter's most popular third party app. The highly-rumored deal was said to be in the $25 to $30 million range.

TechCrunch's Michael Arrington said that Twitter made an unsolicited counter offer as part of a defensive strategy. UberMedia has purchased several Twitter apps, including UberTwitter and EchoFon, leading many to speculate whether the Pasadena-based Web company is planning a rival platform.

“Adding TweetDeck to the UberMedia stable of products would give them too much leverage over Twitter…and so Twitter made a strong defensive bid to disrupt the deal,” Arrington wrote.

Twitter recently tightened its restrictions on existing third-party apps and said that it is no longer interested in allowing anyone to develop new Twitter clients.

Ryan Sarver, the head of platform and API at Twitter, noted in a March blog post that 90 percent of active users are embracing the company's official apps, but the remaining 10 percent seem to be confused by the “fractured landscape” that is offered by many third-party Twitter clients.

“For example, people get confused by websites or clients that display tweets in a way that doesn’t follow our design guidelines, or when services put their own verbs on tweets instead of the ones used on Twitter,” Sarver wrote.

The acquisition of TweetDeck would certainly help Twitter in its goal of providing a less disjointed user experience.

Twitter was able to step in and make a competing offer following the mid-April expiration of the exclusivity terms of UberMedia's bid, according to Reuters.

Beecher Tuttle is a TechZone360 contributor. He has extensive experience writing and editing for print publications and online news websites. He has specialized in a variety of industries, including health care technology, politics and education. To read more of his articles, please visit his columnist page.

Edited by Jennifer Russell

TechZone360 Contributor

Related Articles

Consumer Privacy in the Digital Era: Three Trends to Watch

By: Special Guest    1/18/2018

Digital advertising has exploded in recent years, with the latest eMarketer data forecasting $83 billion in revenue this year and continued growth on …

Read More

CES 2018: Terabit Fiber - Closer Than We Think

By: Doug Mohney    1/17/2018

One of the biggest challenges for 5G and last mile 10 Gig deployments is not raw data speeds, but middle mile and core networks. The wireless industry…

Read More

10 Benefits of Drone-Based Asset Inspections

By: Frank Segarra    1/15/2018

Although a new and emerging technology, (which is still evolving), in early 2018, most companies are not aware of the possible benefits they can achie…

Read More

VR Could Change Entertainment Forever

By: Special Guest    1/11/2018

VR could change everything from how we play video games to how we interact with our friends and family. VR has the power to change how we consume all …

Read More

Making Connections - The Value of Data Correlation

By: Special Guest    1/5/2018

The app economy is upon us, and businesses of all stripes are moving to address it. In this age of digital transformation, businesses rely on applicat…

Read More