Ok, that sounds like doom and gloom…but is Twitter too big to fail? Today marks six months since Twitter (NYSE: TWTR) went public. Twitter priced their IPO at $26 per share. On the first day of trading, their stock reached a high of $50.09 and ultimately closed the day at $44.90.
In addition, the lockup ends today for Twitter’s early shareholders or roughly 81% of Twitter’s stock. As such, the stock cratered almost 18% to $31.85.
At the same time, user growth and EPS are both decelerating. For the naysayer, this paints a picture of impending doom. Whether you believe that is the case or not, the question still exists.
What would happen if Twitter went away? What would happen to the users and demand? Would it shift to other Social Media sites like Google Plus or Facebook? And would it put a chilling effect on social media as a whole?
Many believe that there is value in social media. Could it be as simple as finding a balance between free and paid services? What are you thoughts?
Note: Originally published to Medium: https://medium.com/p/21aa6f8f7323