Twitter Is Reportedly In Talks To Acquire Clubhouse For Billions Of Dollars

…Clubhouse existence seems to threaten Twitter’s Spaces.

Twitter is reportedly discussing a deal with Clubhouse. The topic of discussion is focused on acquiring the startup audio chat social media on a $4 billion proposed deal, Bloomberg writes. Despite the fact Twitter has the clubhouse-like feature, Spaces — still, in its development stage, they insist on acquiring the startup company.

The intent of both parties trying to settle the negotiation process remains oblique. Meanwhile, they also paused negotiating — both Twitter and Clubhouse are yet to publicly explain the matter at hand. Still, it is uncertain to figure out who initiated the acquisition idea.

To depict sense out of either Twitter or Clubhouse’s consent in regards to the commencement of the deal since both parties have existing competition. However, Clubhouse is reportedly in talks with other investors, trying to raise funds valued at $4 billion — The same amount Twitter valued the startup company to worth during discussion.

In the wake of last year’s Coronavirus, Clubhouse rolled out its services and gained limelight due to its incomparable flagship services that feature as a social media that hosts “live audio conversation” popularly utilized by elites such as chief executives, celebrities, and many more other hosting audio chat rooms — including regular individuals.

Remember signing up for Clubhouse is strictly by inviting exclusively built for iOS user-base, has over ten million downloads, amazing, isn’t it? However, Twitter is not the only social media competing with Clubhouse that pioneered live audio chat, including Facebook, LinkedIn, Slack, Discord, etc.

Compared to Clubhouse, other social media have enough resources to fully develop the feature on their platforms such as millions of fan bases to push downloads, and to build a completely suitable app for the different operating systems — including a web version.

The Clubhouse is reportedly planning to develop its services for further expansion. Based on the expertise they employed engineers to develop the android version of audio chat rooms. Nonetheless, they rolled out a new feature they dubbed “Tipping” exclusively for iOS — this is an emerging feature starring other social networks.

According to Clubhouse, Tipping serves as a means for content creators to live off their audio content they produced and shared. The startup company noted they have no share of the revenue Tipping is expected to generate.

For contrast, Twitter aims to completely rival the startup company despite their fully developed Spaces, compatible with both iOS and Android platforms. Twitter is reportedly building its live audio chat to feature as a web version. Meanwhile, the short message social media plans to roll out spaces for the entirety of its user base towards the end of April.

In sum, app specialist believes Twitter intends to wipe out its competitors while looting its remnants. For contrast, acquiring Clubhouse means Twitter wants Clubhouse millions of user-base in addition to theirs while the startup represents its subsidiary. Nonetheless, Twitter occupies a domineering position in the industry whereby ruling over other social audio networks alongside Clubhouse.