Twitter Investment In SoundCloud

The American social network operator has invested millions of dollar in SoundCloud for reviving itself..

Twitter has made a big investment of $70 million in well-known music streaming service provider SoundCloud. This initiative will let the American social networking service provider a growth with more than 300 million users. CEO of Twitter Jack Dorsey has confirmed that now his organization owns a stake in the company.

He stated “Earlier this year we made an investment in SoundCloud through Twitter Ventures to help support some of our efforts with creators, they've been great partners of ours over the years and their community-supported approach mirrors ours in many ways.”

As per reports by Recode, Jack Dorsey would not comment on the particulars of the investment. The decade old Twitter is suffering from increasing competition and hindered user growth for quite some time. A sequential decrease in its monthly active user base caused a sharp decrease for Twitter stock as the social platform operator disclosed its last quarter results in recent times.

For the final quarter, excluding only SMS followers, the micro-blogging website reported a monthly active user base of 305 million compared to 307million in the third quarter. As several leading executives have left the organization in recent times, the company is being overhauled to a major extent under the leadership of Jack. He has pointed out that the organization’s agreement with the National Football League (NFL) for streaming 10 games in the fall of this year will let his organization get more traffic.

After the acquisition of LinkedIn by Microsoft Corporation for a price of $26.2 billion, LinkedIn was quite highlighted by the media recently, the shares of Twitter increased by over 80% in trading done by early-morning. Media has reported that, Microsoft- LinkedIn takeover in the enterprise social networking industry has rekindled expectation for Twitter which is troubled by a stalled growth in users. If the shares of Twitter continue to stay up for an adequate period of time, then that will clearly indicate investors’ interest in seeing it under the control of someone else.

Rumors have it that the American search engine operator Google is leading the competition to purchase Twitter. Another significant global media company Comcast Corporation might also contest the race, the report stated. In other news, as per reports by the Telegraph, Twitter has started to let its users re-share tweets, which already have been found in the timelines of followers. Thankfully, a user can just retweet him or her once, preventing him or her to clog up timelines by retweeting repeatedly the same message. The update makes it also easier for any Twitter user to quote-tweet him or herself, which permits him or her to tweet with any other tweet embedded in it.