Webupon

As Twitter makes it way into the mainstream – yes it is only a matter of time – I wanted to comment on its value as a communication medium and ultimately how I think it will value as a business. I admit, I am twittered out myself on all of the media coverage. Even if you are not in the industry, you have most likely read an article or two from the mainstream media trying to explain this “phenomenon” and exactly what Twitter is. The funny thing is as more people try to explain it, the less they understand it. If you listen to Evan Williams (One of the two founders) speak about his company you will learn that the platform was built as an enabler of communication. It was actually intended to be a new platform to send text messages (hence the 140 character limit – 160 is all the carriers allowed before the message was sparsed into two, so they left 20 characters for the user name). The community of users are the ones that have made it what it is today. This is the beauty of Twitter and platforms like it. It allows its user base to define it based on their needs and desires. The community defines “rules and guidelines” and self-polices the platform so that it is not misused. It is now the ultimate guidebook for what is happening right now. If you scan the “twitterverse” at any given moment, you can get a pulse for what’s going on in the world. People have embraced it as a medium for short-form communication. I think part of the reason why is within its limitations. The conversations are happening in real time and they are quick and to the point. If a user wants to disperse more information, they can simply link to it.

As it gains critical mass, it is in these real time conversations where its business value lies. The executives and advisors are hard at work to figure out a monetization model and I’m sure they are getting pretty close. They know the value is in the data, and it doesn’t take a genius to figure out where that could be going…search. Advertisers may have in Twitter (if integrated properly) a more efficient way to reach consumers. Users may have a more relevant tool to find what they are seeking. You better believe Google is watching this very closely. If the search business doesn’t pan out, there is an inherent value in the data it is accumulating as a research tool for advertisers as well as for individuals. There is a valuable business model to be found there as well.

As most question their ability to monetize their idea, I’m on the other side and can assure you Twitter is too. So keep using it. We will all benefit from a new means to communicate on a great platform, and have the ability to take the pulse of our network and the world in an instant. Twitter will benefit from reaping the rewards as a business. Everyone wins. Go Twitter.