Twitter is planning to kill its #Music application, after abysmal user growth and activity on the music discovery platform.
Twitter is gearing up for its initial public offering, and the social network has been drumming up different strategies in achieving growth and improving revenues (the company is currently not profitable). As part of this strategy-building, Twitter is reportedly also streamlining its activities, in particular cutting off non-essential assets that are not likely to contribute to the bottom line or to the company’s future stock value.
Sources close to Twitter report that the company is soon going to pull the plug on its #Music application. All Things D cites how #Music had been a misstep in the social network’s multimedia strategy. Even while the app debuted among the top spots on major mobile app stores — even peaking at number six overall on iTunes — usage since then had been abysmal. After the initial surge, both downloads (actual installations) and engagement (active users) left much to be desired.
In fact, as of August this year, mobile analytics firm Onavo, which has recently been acquired by Facebook, reports that the Twitter #Music app as 1,672nd, while another firm, AppAnnie, ranks it as #264 as of October 14th.
While Twitter is dropping this particular aspect of its mobile business, the social network is also seeking ways to cement itself as an essential part of today’s mobile multimedia ecosystem. For one, it plans to serve ads on third party websites as an additional revenue source. Twitter is also reportedly going to spin off its private messaging service into a standalone cross-platform chat app.
In lieu of Twitter #Music, the company is likely to pursue partnerships and deals with other service providers that can offer better service and higher levels of engagement, All Things D speculates. For instance, Twitter partnered with Apple earlier this year in producing its trending playlist station for iTunes Radio, and has added its official playlists to streaming radio service Rdio. These partnerships might be a better way for Twitter to engage users without expending too much effort and energy in developing non-core products and services.
Twitter’s IPO is reportedly going to be valued at $1 billion, as the social network prefers a conservative valuation rather than an oversized one that might prove to be unsustainable in the long run. In terms of traction and user growth, Twitter is not as fast as its contemporary, Facebook, although the platform has become an excellent means for keeping track of trending topics and disseminating information.
Source: All Things D