Twitter, the popular micro-blogging site, officially confirmed on Friday that it closed a new round of financing. Evan Williams, CEO of Twitter publically announced the investors including, Insight Venture Partners, T. Rowe Price, Institutional Venture Partners, Spark Capital and Benchmark Capital. Williams commented, "It was important to us that we find investment partners who share our vision for building a company of enduring value. "
Financial details of the round were not disclosed in the blog entry, although Williams did describe the financing as, "a significant round." According to several published reports, Twitter raised somewhere around $100 million and is now valued at $1 billion, a massive leap compared to its $250 million valuation earlier this year.
Despite offers from the likes of Facebook, this round could serve to help Twitter stay independent among the other social networking giants across the Web. It's team consists of around 60 employees, Williams stated, "Twitter's journey has just begun and we are committed to building the best product, technology, and company possible. I'm proud of the team we've built so far and I'm confident in the future we'll build together."
Earlier this year, San Francisco-based Twitter raised $35 million from Benchmark Capital and Institutional Venture Partners. This new round brings Twitter's total financing to $155 million.
As for business model, Twitter has yet to actually find one. Some possibilities the startup has said it is working on include monetizing off of its new search engine through targeted advertising, similar to the likes of Google. Another has to do with content deals - as Twitter has rapidly become a form of mainstream communication, television and other media outlets are looking at Twitter as a way to interact and create a two-way experience with its viewers. Finally, Twitter could sell premium accounts to businesses looking to use the 140 character Tweets as a marketing tool.
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