Report: Microsoft, Google sparring over Twitter?

It's not like we didn't see this one coming: Microsoft and Google are apparently chomping at the bit in an attempt to make a search-advertising deal with Twitter, AllThingsD reported Thursday.

"Many think Twitter's real-time search of its 140-character 'tweets' posted by users on the service will become the next great battlefield in search," AllThingsD's Kara Swisher wrote. Indeed, Twitter's search has been front and center since it acquired third-party search app Summize and integrated it into its own site. "Google currently dominates the general search market, with third-place Microsoft struggling to get more share."

Twitter currently serves no ads, search or otherwise, with the exception of the rare "sponsored" company like ExecTweets.

The catch, according to AllThingsD, is that neither company has really made up its mind as to whether Twitter will continue its explosive growth or whether it'll end up as little more than just a hyped-up fad. Considering these days of tight budgets, it's not surprising that even a huge tech company would think twice before signing a deal that potentially might not have the greatest return on investment.

Earlier this month, the rumors were all about whether Google would actually acquire Twitter--rumors that no one seemed to be able to agree on. Google has already purchased two short messaging services: Dodgeball, which it eventually shut down, and Jaiku, a once-direct Twitter rival whose future is now uncertain. Twitter CEO Evan Williams already has ties to Google, too; he sold Blogger to it back in the day.

Microsoft, meanwhile, has a $240 million stake in Facebook--which apparently did try to buy Twitter--as well as display ad deals with both Facebook and Digg. Ironically, when Microsoft made its $240 million investment, Google was widely rumored to be vying for it as well.

[techgeekdude]

Who can say if Twitter is a fad, but apathy is slowly starting to sink in. Twitter is pretty gimmicky in general because it really is designed for the narcissist in people who thinks cares about what they're doing at every moment. When you think about it logically, it is pretty stupid. On the business side, eyeballs are still the big driver apparently because anyone can see Twitter has no business model or revenue generator to justify it's valuation. I guess when someone pays a boatload of money for Twitter, then those VCs will seem like geniuses.

[techgeekdude]

Who can say if Twitter is a fad, but apathy is slowly starting to sink in. Twitter is pretty gimmicky in general because it really is designed for the narcissist in people who thinks cares about what they're doing at every moment. When you think about it logically, it is pretty stupid. On the business side, eyeballs are still the big driver apparently because anyone can see Twitter has no business model or revenue generator to justify it's valuation. I guess when someone pays a boatload of money for Twitter, then those VCs will seem like geniuses.

[pdditty]

There is no other internet property that has the potential that Twitter posses. This is way it behooves Google, Microsoft or whomever to buy Twitter right now. Both GOOG and MSFT have over $40B in cash and could finance a Twitter acquisition or search advertising deal without losing a step. If Twitter flounders, so be it. An ill fated Twitter takeover will not bring down these behemoths.

[eltoro2827]

twitter is lame and will die the way of http://www.freeinternet.com

[GKrynen]

Twitter is nothing more than text messaging that is well integrated from the web to phones and applications not previously touched by texting. The following feature made it more than simple SMS, allowing members to follow each other based on interests.

[OhByTheWay]

Yeah, Twitter is intellectually pretty lame. I'm busy enough following my own life to care about what you're having for lunch...or where. Of course if you're interesting enough...say a political pundit, celeb, author/blogger etc... MAYBE I'd like your to hear about your views and see the way the other half lives.

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[twitter_tourpro]

@Randy in Wilmington

It only took 2 seconds to find out that there are not a few people talking about pets and fences. If you are involved in a very niche-type business (you are), then this would be an inexpensive way to connect with potential customers and gain some mindshare.

[jonathan0766]

Ironic that if MSFT or GOOG succeed in developing a search deal with Twitter, they'll make the service dramatically more valuable financially (pushing up any acquisition cost).

[gstah]

I'm already becoming bored and disenchanted with Twiiter, and I've only been using it for about a month. If MSFT were to acquire it, I'd probably give it up, simply on principle. I hate 'em.

[aSiriusTHoTH]

Twitter is popular as it does exactly whats teens want... allows their teen egos to get a boost. Just think the most popular social networking type sites on the internet in the last few years have been about "How many friends do I have", or "How many people are following me".

[MattmanChat]

Personally, nothing new has really been determined in this article, and it should be deemed just another traffic booster to 'cnet.' As long as the smart phone continues to grow, so will twitter. Common people. This article is old news.

[MattmanChat]

I do have to add, but great idea on the traffic booster!