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Why isn’t Twitter charging for their API?

52 pointsby dustyreaganalmost 13 years ago

12 comments

daveying99almost 13 years ago
They do, and the price is $0.0001 per tweet.<p>Search rate limits through the normal API can be prohibitive for many use cases like news/brand monitoring. Or even citizen monitoring programs for local police. So they resort to datasift and gnip and are charged volume-based amounts on behalf of Twitter. And presumably, at the end of every month, a wire transfer goes out to Twitter.<p>Now that doesn't mean that twitter makes $1 per 10,000 tweets. A license to the tweet is required separately for each end user of those two platforms. So with 1000 datasift users accessing a particular tweet, Twitter is making $0.10 on it. The more people request that tweet the more money Twitter makes. Marginal cost = 0.<p>For more info, check out the Datasift FAQ's: <a href="http://dev.datasift.com/docs/getting-started/billingfaq#licensefees" rel="nofollow">http://dev.datasift.com/docs/getting-started/billingfaq#lice...</a>
memnipsalmost 13 years ago
It's because they want to build an advertising business and they don't want to compete with their developers. Twitter as a service is not the business they're in. They want direct access to their audience to increase their chances at monetization.<p>It makes perfect business sense, it just sucks.
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nc17almost 13 years ago
Because they ran the numbers. It wouldn't justify the valuation their investors demand, and it would be a distraction. Ads are their only hope. Draw your own conclusions.
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kmfrkalmost 13 years ago
Serious question: do people still have any remote desire to give the people behind Twitter money, after all they have pulled and shown themselves to be?
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gueloalmost 13 years ago
Unless it's a per/something charge the numbers wouldn't be significant. I would guess there's less than a thousand serious API developers.
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ctidealmost 13 years ago
Or, why don't they just interleave ads into the streams and require developers to either display those ads or pay a CPM equivalent to hide them? It seems clear their main concern is around the home_timeline feed anyways, so weaving in their 'sponsored tweets' and requiring developers display them seems straight forward enough.
jwoodenalmost 13 years ago
I would assume that its in the works, but they already slapped developers in the face yesterday with new restrictions, if they added pricing plans on top of that, that would be inhumane and too much for developers to handle in on gulp.<p>Additionally with the pricing, its hard to get right. They won't be able to modify prices as they see fit after they announce them. So it seems like a logical progression: 1 restrict amount of data. 2 next, determine pricing
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nukethefridgealmost 13 years ago
I don't think charging for API access will make them as much money as they want/need compared to being a media/ad company, that's probably the main reason. But, you're question did prompt me to ask my own:<p>Why doesn't Twitter rev-share their ads with 3rd party devs? <a href="http://gist.io/3383601" rel="nofollow">http://gist.io/3383601</a>
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njyxalmost 13 years ago
Not quite the same point - but similar thoughts: <a href="http://bit.ly/N9HnAD" rel="nofollow">http://bit.ly/N9HnAD</a>. What's really missing is a proper service contract. Not giving guarantees - or at best implicit ones will kill ecosystems.
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andy_herbertalmost 13 years ago
Because it wouldn't bring in as much revenue as advertising, I'm guessing. And I think they'd rather have less third-party client than they do now.
bborudalmost 13 years ago
Imagine developing a twitter app for iOS. Talk about a shitty job having to deal with shit from both Twitter and Apple.
cicloidalmost 13 years ago
Why? Who is in charge at Twitter?