Twitter Inc. (NYSE:TWTR) has moved a step forward into finalizing the acquisition of Shots, a startup with over 3 million users mostly made of women according to CNBC Melissa Lee. The acquisition suggestion does not come as a surprise as Twitter tries to tap into the fast-growing selfies trend, which has taken the media space by storm this year.
“Twitter Inc. (NYSE:TWTR) has, in fact, engaged in talks with shots and that the interest centers around the high engagement of young millennial on shots, specifically 13-18 years, “said Mrs. Lee.
Speculation about Shots spiked in the wake of Twitter Inc. (NYSE:TWTR) s CFO, Anthony Noto mistakenly tweeting that he was nearing the completion of the acquisition for December 15 or 16. Steve Grasso believes the purported tweet was not an error and that it might have been done knowingly.
The size and composition of the startup’s user base is one of the reasons that Twitter has taken a keen interest on it as the company looks to offset a decline of active members on the core business. Shots allows users to take photos with front facing cameras and does not allow the posting of comments on other people’s posts. The Android version of the app launched last month after celebrating a one-year anniversary on Apple’s App Store.
“He is a guy who ran TMT at Goldman; he understands what makes stocks move. [..] I don’t think they are lying; I think they are going to buy someone but I think they are testing the waters, “said Mr. Grasso.
Re/Code has already listed a number of targets that might be in line to be acquired by Twitter with Shots featuring in it although the news caused the stock to slump in the market. Pop star Justin Bieber is one of the investors in the startup that is run by self-proclaimed king of Twitter Inc. (NYSE:TWTR) John Shahidi. The startup’s main goal at the moment is ensuring that up to 30% of the current users always come back after using the app.
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