In advance of its Chirp conference in San Francisco, Twitter on Tuesday unveiled a new ad platform that will display advertiser-backed tweets atop search results.
The venture, dubbed Promoted Tweets, is the micro-blogging site's first foray into the traditional advertising-supported Web model. Twitter has thus far resisted this model "because we wanted to optimize value before profit," said co-founder Biz Stone.
Twitter's strategy is a canny one. It has made its application programming interface widely available to the developer community, who have fallen over themselves to jump on the Twitter bandwagon. Indeed, much of Twitter's success stems from the ecosystem created by these software writers: they have made it possible to automatically shorten web addresses in a tweet to make it easier to stick to the 140 character limit;
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they have streamlined the process of sharing photos through the microblogging site; they've made it easy for people to manage and keep track of multiple Twitter accounts through their desktop or mobile phone; and have made it possible to search Twitter for trending topics, create and share lists of interesting Twitter users, and even get instant answers to questions.
While Twitter and Palo Alto, California-based Facebook are gaining users, some rivals are struggling. AOL Inc. said last week it is evaluating the sale or shutdown of social-networking site Bebo, less than two years after spending $850 million to buy the business.
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