I find Twitter and it's user base incredibly interesting. On the one hand it's portrayed as an "Everyone" product. There's no reason you or your friend Bill or your boss or your Grandma couldn't use it. Because of that people have historically signed up in droves and it's valuation has increased.
In reality though (and this is entirely anecdotal), Twitter isn't something that everyone can use. A lot of people find it difficult to figure out what they should say, how to keep track of who they follow and simply how to engage with it. It isn't that everyone product. You do still have an enormous community of people though that use it frequently and keenly and recently their monetization offering (advertising platform) has become far more impressive.
I would guess then that the valuation and share price has to come down a bit (which this is a signal of) to reflect the change from an "Everyone" (Facebook, Google, Amazon) offering to "Quite a Lot of People" (Pinterest, Tumblr etc) product.
In reality though (and this is entirely anecdotal), Twitter isn't something that everyone can use. A lot of people find it difficult to figure out what they should say, how to keep track of who they follow and simply how to engage with it. It isn't that everyone product. You do still have an enormous community of people though that use it frequently and keenly and recently their monetization offering (advertising platform) has become far more impressive.
I would guess then that the valuation and share price has to come down a bit (which this is a signal of) to reflect the change from an "Everyone" (Facebook, Google, Amazon) offering to "Quite a Lot of People" (Pinterest, Tumblr etc) product.