A few months back, there was a discussion between Twitter and Clubhouse for an acquisition deal. As per the Bloomberg report, Twitter was planning to acquire Clubhouse with a deal value of $4 billion. Other media portals also confirmed that the discussion happened between two parties but it is not yet clear why it stopped.
Twitter Surprised Everyone with Clubhouse Acquisition Talks
Clubhouse, an audio-based social media platform, is in the news due to its sudden growth. Twitter tried to capture the full stake of Clubhouse a few months back. Now, that discussion is over and the reason is also unknown about the closed talks.
Last week, Bloomberg also reported that Clubhouse is looking to host a new financial round to make its valuation around $4 billion. As per financial experts analysis, after the failed talks with Twitter, Clubhouse changed its strategy. Now, they are looking to strengthen their operation with additional capital that is going to be raised in the coming funding round.
Acquisition news is also a little surprised when Twitter has already developed a drop in audio chat platform named Spaces. Twitter is slowly rolling out the Spaces feature to its users. Facebook is also working on an audio-based platform like Clubhouse.
People were surprised with the price tag offered by Twitter to Clubhouse in the acquisition discussion. Though no one can deny the popularity of Clubhouse, people still have reservations about the long term success of the newly launched platform.
Clubhouse Monetization Feature
Clubhouse, meanwhile, has introduced the Clubhouse Payments feature. It is a step towards long term monetization plans by Clubhouse. As per the new feature, users can send payments directly to other creators on the platform.
Surprisingly, Clubhouse is not charging any service fee from either side. 100% money will be transferred to the receiver. The payment feature is enabled through Stripe, a payment processing platform. It will only charge a minimal amount for payment transfer. The clubhouse is also providing virtual tips to creators about the monetization process.
Spaces, the audio platform by Twitter, is also in the final stages of rolling out to all Twitter users. How a company will pay such a hefty amount to Clubhouse when its similar product is ready.
This revelation will help Clubhouse to attract more investors in the coming financial round.