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Twitter Files For IPO

Joshua Brustein and Nicholas Summers, Businessweek

Twitter’s IPO will be a smaller affair than the social network’s was. Facebook’s valuation was around $100 billion when it went public, while one of Twitter’s investors valued the microblogging site at about $10.5 billion last month. The company brought in $245 million in revenue last year, with an operating income of $3.1 million, according to Privco, a research firm that studies private companies. EMarketer says Twitter’s ad revenue will be well over $1 billion by 2015.

Taking note of the debacle that was Facebook’s IPO in 2012, Twitter is taking a somewhat conservative approach with its public offering. It remains to be seen how the influx of investors will affect Twitter’s future dealings with third-party applications, and how the social network plans to further its monetization strategy.