Recent analysis on the heavily anticipated Twitter IPO has shown that the social media company could be valued at as much as $20-billion dollars (U.S.) after trading starts. The company plans to raise over $1-billion dollars (U.S.) from a share sale. Everyday half-a-billion tweets are sent by Twitters 218 million users; a 44% increase from 151 million in 2012.

Twitter is trying to avoid suffering a same sort of disappointing fate that Facebook experienced during their IPO in May 2012. Twitter’s main source of revenue is in advertising and as far as R&D goes, Twitter doesn’t really do a lot of updating. Twitter is a unique “say what you’re doing” type of social media site, and that sort of leaves them with the simplicity of not having to constantly re-invent the wheel. In 2012 Twitter’s revenue had increased nearly 200% percent to $316.9 million dollars (U.S.)

The question that remains on most Twitter users minds is, “When is this fad going to burn out?”. Facebook certainly hasn’t yet and if Twitter can keep the fire burning then this IPO will prove to be a huge success.

http://www.theguardian.com/technology/2013/oct/03/twitter-ipo-share-sale