Where are you seeing $8 - $12 million, Cains ?
- Eric Berlin
My bad that was another buyout (been watching too many acquisitions lately), I'm inclined to believe investors are going to get $4-6
- Steven Cains
$42 million. A birdie told me. No, wait, it was a whale. Maybe an African swallow? No, European. Aaaaaaaaaaaaaaagh :o
- Adam Lasnik
If true that would mean that twitter is shelling out 20-40% of its total to date funding... that sounds like a lot lot to me. @drewolanoff is guessing $1.5 million plus some perks / equity / employment for Summize staff, which sounds more reasonable to me
- Eric Berlin
I'm surprised it's in twitter's scope, the big boys of marketing are starting to buyout any and all companies that'll help web analytics/brand management
- Steven Cains
Why will twitter buy Summize ? If their replies tab is turn on, and a little bit of thought is given to scalability and arch, then they dont need to buy any other 3rd party add on. @ 4-6M, twitter can easily hire a bunch of coders to do the same thing and maybe even better.. it does not make sense from a technology buyout. However, Summize can be sold to some org that wants to track/trend chatter ITs the Ideal market research too built onto twitter !!
- Peter Dawson
$0. They should better purchase more servers
- TOMHTML
It seems like taking a vital part of your product's eco-system and then tightly coupling it to your problems. So now as well as managing the (hopefully incremental) rewrite they'll also have to integrate another team who already have their own culture. In addition they still don't have a viable business model.This seems unwise and unnecessary.
- Adewale Oshineye
Peter / TOMHTML / Adewale: you all bring up great points. I find the potential Summize purchase puzzling myself. Perhaps the idea is to try to acquire their way out of their scaling and stability issues in part...
- Eric Berlin
I am not sure exactly how much twitter is going to pay for summize but to me the acquisition makes a lot of sense because I think that buzz analytics might be a great way for twitter to monetize it service and search is a core component of that. This is also a good way of bringing in engineering talent with zero integration risk. Seems like a good move to me.
- Edwin Khodabakchian
funding was 750k, so it has to be more than that :-) My guess, 4-5m out of Twitter's last round of 15m. Leaves them 10m to play with. Having said that, the exit multiple is still fairly low. Alternative: was a script/ cash buy. Would make more sense.
- Duncan Riley
Twitter really needs Summize or something like it. Context sensitive ads. I bet they wish they had built it from scratch. Google really isn't that far behind though (site:twitter.com searches) . It's bot is maybe slightly slower in picking up Twitter posts that summize. The benefit Summize has over Google is that it has a Twitter like interface and a captured market.... mmm good topic for a show. They'll probably both need revenue before Google buys them.
- Jim Stewart
3 million. And Jim is right. They will put the summize team on advertising duty since they are basically a miniature Google.
- ...Vezquex