Disney in Talks to Acquire Twitter

It has been a roller-coaster of a week for the Social Media Giants Twitter. There have already been reported interests in the acquisition of Twitter from the big players such as Microsoft, Google, and Salesforce. The entry of Disney should not be underestimated as they have the capabilities to match the asking price. All the talk of this acquisition has only benefited Twitter’s Market Value. Its market cap was $13 Billion, but the recent talks of an acquisition have changed the entire scenario. After the rumors on Thursday broke out that Salesforce were on the verge of a takeover; now it is valued at $20 Billion. Some Rumors say the acquisition of Twitter could cost Disney up to $30 Billion.

Disney currently owns media channels like ESPN and ABC. They hope that the social media platform could take their reach to the next level. Another reason for the acquisition is that Twitter has a lot of content partnerships, including one with NFL. All these partnerships are bound to benefit a company like Disney. Recently there has been a decline in the viewership of cable television, this mainly down to increase the activity of online media content. Their media channels could benefit greatly with this acquisition.

Market experts have identified there are several hurdles for this deal to go through. One of the big concerns is Twitter’s image is conflicting with Disney’s principle of keeping a clean reputation. Twitter has a big problem of controlling the adult rated, racist and other offensive content. Disney is known for its clean and innocent brand image. Disney will need to tackle this issue if this deal does go through.

Disney has built a huge brand image that should not be underestimated. But the interest from Salesforce was an unexpected move and made marketers wonder how this move make sense. Most companies are interested in Twitter for their ability to be used as a medium for customer service and marketing. For Google, it is a chance to finally make a mark in Social Media where they repeatedly failed to get it going.

The battle for Twitter has just begun, and it is going to be one of the biggest deals in the history of business. Every other day there is some company making their interest known and rightly so. The acquisition is also a power move by the company that is making the acquisition. All this drama is fitting for the second biggest social media platform.

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