Alan Patrick raised the per-weekly question of Twitter’s business model: how and when will it make money?
Now, as a quick aside on web20nomics, I am encouraged by Facebook‘s ability to make money, heading towards $550m this year on 250m users, which isn’t a bad monetisation rate for a business without a business model (as it was described in 2007).
As monetisation rates go, it ain’t bad: $2-3 per user per year. On it’s current user base of 250m, if Facebook could triple their monetisation per user (which would put them below Yahoo), they would be a $1.6bn revenue company, which makes Yuri Milner’s call today a smart one.
But at least an order of magnitude off Google’s, which is between $40 and $80 per user per annum.
With Twitter heading north of 30m monthly users, monetisation rates as good as Facebook’s, Twitter would be making close to $10m per month, which ought to pay the electricity bills. The question is how?
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