Google, Apple, and Walt Disney three of the much-talked about suitors for Twitter are reportedly out of the race to acquire the microblogging site that has been struggling to add new users. According to a recent report, the three companies have chosen to exclude themselves from buying the social site which may cost over $20 billion. Now, that leaves only Salesforce in the bidding race. It was expected that the site will start receiving bids in the week of October 7. Following the report, Twitter stocks went down significantly. According to a Re/Code report, Twitter’s shares dropped 17 percent in pre-market trading on Thursday after “deep-pocketed companies Google, Apple and Walt Disney” were reported to be out from the Twitter buyout race. For tech companies, the social site is of interest because of its ability to offer key data that could help create insights for their corporate clients. With 313 million monthly active users, the decade-old company is nowhere close to making any profit and has been struggling to add new users. Twitter is expected to announce its next quarterly earnings on October 27. Also Read - Koo user base reaches 15 million, plans spreading wings to Southeast AsiaAlso Read - Anyone on Twitter can now host a Space: Here's how
According to earlier reports, Salesforce CEO Marc Benioff is “building a case to Salesforce.com Inc. investors and others that his company should be the buyer.” ALSO READ: Jio or Jiyo, this Twitter conversation between Sachin and Sehwag will leave you in splits Also Read - Facebook’s new name could be Meta or Horizon, or will it be called FB?
The acquisition bid comes at a time when Twitter is struggling to add new users. It currently has 313 million monthly active users. Salesforce is vying for a social networking platform in its kitty for long, and it will cost it over $20 billion. The company, “which reached $6 billion in annual revenue faster than any other enterprise software company”, offers customer service software, market research tools, email marketing systems and other products and several of them already use social media.