that Twitter is closing a round of funding that puts a value on the
company of a whopping $1 billion. The last round of funding that
Twitter secured was in February and valued the company at $250
Sources from TechCrunch claim Twitter CEO Evan
Williams told Twitter employees about the new
round of funding. Social networking sites like Twitter, Facebook,
and MySpace are still working hard to prove that they can make money
and prove viable in the long run.
Twitter currently runs no
ads on its service, but recently changed
its terms of service to allow for the possibility of serving ads.
Speculation is that Twitter may begin running ads similar to those
that Google uses alongside it search results.
are able to run searches from the Twitter site to look for
information about specific topic being posted in Tweets across the
network. Twitter's popularity is booming and this may be the right
time for the company to start selling ads.
Twitter grew to
44.5 million users in June, an increase of 15 times compared to the
previous year. Analyst Salil Deshpande from Bay Partners said, "When
something like Twitter or Facebook becomes a cultural phenomena, it's
much more than the sum of the parts. It's really tapping into a
cultural shift. As the network effect increases, the value
Twitter is used by a massive and varying
population. President Obama used Twitter during his campaign and the
service is used by celebrities, news producers, and average citizens.
quote: Twitter is one of the fastest growing social networking sites online.