Facebook Inc. (NASDAQ:FB), Twitter Inc. (NYSE:TWTR) And Struggle For Real-time Data
Finally Facebook Inc. (NASDAQ:FB) joined the league of Twitter Inc. (NYSE:TWTR) and marked fresh all time high of $55.18. This compares to Twitter’s all time high of $60.24. During yesterday session Facebook Inc. gained 1.95% whereas Twitter Inc. shed 0.28%.
Both these social media giant and micro-blogger are strategically innovating to offer better returns to marketers for advertising expenses they incurred on these next-generational advertising platforms. Their potential for ad-revenue is the principal trigger behind their ever surging stock prices.
A New Acquisition
On Tuesday, Facebook Inc. (NASDAQ:FB) announced to acquire a San Francisco-based startup SportStream which for developing application to better reflect all the public-facing content posted within the social media giant.
This acquisition will help Facebook Inc. (NASDAQ:FB) to give media partners better and in-depth access to its content, allowing them to display more of that chatter on their broadcasts and other platforms.
Worry for Twitter
As most of the real time conversations happen over Twitter Inc. (NYSE:TWTR)’s micro-blogging platform, till the time it was enjoying a niche in the space. However this acquisition of Facebook Inc. (NASDAQ:FB) would offer a real competition to the micro-blogger by allowing its platform to be used as a real-time service by the masses.
Vice President of Facebook Inc. (NASDAQ:FB), Justin Osofsky mentioned in a blog post, “If there is something interesting going on, people are talking about it on Facebook. From favorite television shows to breaking news, these conversations are happening on Facebook.”
Twitter’s Own Plans
Twitter Inc. (NYSE:TWTR) offers its 500 million daily tweets to a small group of partners through a ‘firehose’. These partners in turn commercialize these data to big data analytics as well as to advertisers and news organizations among others.
With SportStream and firehose both Facebook Inc. (NASDAQ:FB) and Twitter Inc. (NYSE:TWTR) seem to be competition alive in a fierce online social media space, keeping an option alive for media houses and advertisers to choose from either of them or part their budget on both of them to ensure optimum reach.