It is clear that Twitter is developing Spaces to give competition to social audio app Clubhouse. Now, according to a report, Twitter apparently discussed acquiring the company too. Today, Bloomberg reported that Twitter discussed with Clubhouse about purchasing the app for around $4 billion.
The report conveys that as of now, these conversations have stalled. The report does not specify the reasons behind this. On the other hand, it is also unclear whether Twitter first approached Clubhouse or Clubhouse first approached Twitter.
Yesterday, Bloomberg reported that Clubhouse looking to raise $4 billion worth of money. It is very much possible that this figure came out after a discussion with Twitter. It can also be Clubhouse shopping that figures around.
Last year, Clubhouse was launched. The app popularized the idea of hosting live audio conversations. Since launch, plenty of celebrities, tech CEOs, as well as regular tech enthusiast folks have tuned in and hosted rooms. The app currently invites only and iOS only, still, it has been downloaded by more than 10 million people.
It should be noted that apart from Twitter, Clubhouse faces lots of competitors such as Facebook, Discord, LinkedIn, Slack, and many others. Most of these apps come with a built-in user base of millions of people. Also, they operate not only in iOs but also on the web and Android.
Since its launch, Clubhouse has tried its best to innovate. Recently, the company has hired an engineer to build its Android app. This week, Clubhouse launched tipping within the app as a way for creators to make money and the best part is, Clubhouse won’t be taking a cut out of the tip.
As of now, Twitter Spaces has already launched on both iOS and Android platforms. By this month, Twitter is also planning to launch a web version and to open hosting abilities up to all users. Technically, Twitter acquiring Clubhouse does not make any sense apart from the fact that with this, Twitter will be able to wipe out competition and gain a dedicated user base. Since the acquisition deal is stalled, for the time being, Clubhouse and Twitter will continue to face each other.