April 16, 2014
Social Data Provider Gnip Joins Forces With Twitter
Enid Burns for redOrbit.com - Your Universe Online
Twitter has acquired social data provider Gnip to enhance the information it is able to provide to advertisers and other clients. Twitter and Gnip each discussed the acquisition on their respective blogs."The results have exceeded our wildest expectations. We have delivered more than 2.3 trillion Tweets to customers in 42 countries who use those Tweets to provide insights to a multitude of industries including business intelligence, marketing, finance, professional services, and public relations," wrote Gnip CEO Chris Moody.
Terms of the deal were not disclosed.
An in-house data source will be valuable for Twitter, which is still working on monetization.
"We want to make our data even more accessible, and the best way to do that is to work directly with our customers to get a better understanding of their needs," wrote Jana Messerschmidt, VP of global business development and platform at Twitter, in the blog post.
Both companies expressed the ability to provide more meaningful data, once the acquisition is completed.
"Together we plan to offer more sophisticated data sets and better data enrichments, so that even more developers and businesses big and small around the world can drive innovation using the unique content that is shared on Twitter," said Messerschmidt.
Gnip customers will still be able to get access to data from Gnip. Gnip's Boulder, Colorado-based team will continue work on existing public APIs, as well as work on Twitter's data platform.
Gnip analyzes tweets published by users, breaks them down into information such as trends and consumer sentiments, then provides that data to customers, USA Today reports.
Gnip is one of four companies with access to Twitter's full stream of tweets, The Wall Street Journal reported. That feed amounts to roughly 500 million tweets per day. "Gnip analyzes this information and resells it, primarily to businesses interested in how consumers view them," wrote Elizabeth Dwoskin and Yoree Koh, from WSJ.
The acquisition of Gnip will help provide more usable information for Twitter's advertisers and customers, Forbes reported.
"Essentially the idea is that, while Twitter’s primary focus is providing the infrastructure to enable Twittter to run at the massive scale that it does, Gnip is one of the companies that offers the sum of the data travelling on the Twitter infrastructure," wrote Forbes contributor Ben Kepes.
The new data provider will help enhance the infrastructure of the company, and provide value to advertisers. Forbes' Kepes offers this analogy: "That Twitter needs Gnip is a given – there is little value in providing the plumbing underneath a system, and much value to be gained in mining the data that runs along the system. As an infrastructure provider, Twitter is like a electricity lines company or a telco, just providing the tubes. With the addition of Gnip they have the ability to add a world of value on top of that plumbing – most importantly, they have the ability to deeply mine insights from the data and monetize them – or in more blatant terms, Gnip gives Twitter the best ability to sell targeted advertising to the businesses that want some part of the action."
At the same time it announced the acquisition of Gnip, Twitter said it hired Daniel Graf as product chief, according to WSJ. Graf has experience in mobile apps and was most recently director at Google, where he oversaw Google Maps starting in 2012. Twitter hopes that Graf will help make the Twitter platform friendlier for the average Internet user.