Just a few weeks after announcing its own advertising system, ‘Promoted Tweets,’ Twitter is trying to ban other companies inserting ads into its stream of 140 character messages.
Twitter is already working with a handful of advertisers and hopes to have hundreds more by the end of the year. The site has still to make a profit.
The news, hardly unexpected, will hit a range of companies who depend on Twitter distribution for business and which will now have to come to revenue-sharing arrangements with Twitter if they want to continue to use the service. Among these may be (no-one’s quite sure yet) re-Tweet operator Tweetmeme, TwitJobSearch and Buzzzy.
Twitter now employs more than 200 people and points out that it bears the costs of maintaining the network and supporting user requests. It is also planning to move into sharing pictures and video soon, both of which will add substantially to the costs of running the network.