According to a corporate blog post, the acquisition is part of a long-term plan to make Twitter a better platform for writers.
San Francisco: Twitter recently announced that it had bought Revue, a Dutch startup. The startup specializes in helping users set-up and monetize email newsletters. Twitter is already making changes — they announced that they’ll make Revue’s Pro features free for all accounts, and they are lowering the paid newsletter fee to 5% percent. The changes will allow writers using the platform to keep a larger portion of the revenue generated from subscriptions.
The price of the acquisition was not disclosed. According to Crunchbase.com, Revue had raised €400,000 in funding back in 2016. The money came from various angel investors.
In a blog post, Twitter explained the reason behind the acquisition. Company representatives stated that Revue will give individual creators more means to monetize their work and connect with audiences.
“Revue will accelerate our work to help people stay informed about their interests while giving all types of writers a way to monetize their audience,” Twitter’s blog post stated. “Whether it’s through the one they built at a publication, their website, on Twitter, or elsewhere.”
By design, Twitter has always been a difficult platform for creators of long-form written content. But the company has made moves to help writers and journalists find more ground on the platform. The option to link tweets into chains and the company’s decision to double the platform’s character back in 2017 were both steps in that direction.
Now with the Revue acquisition, the company has made its intentions to support writers loud and clear. For now, Revue will continue to be operated independently of Twitter, but the company has already announced plans to integrate the two platforms.
“We’re imagining a lot of ways to do [integrate the platforms], from allowing people to sign up for newsletters from their favorite follows on Twitter, to new settings for writers to host conversations with their subscribers. It will all work seamlessly within Twitter,” the company’s blog post stated.
Newsletters have been making waves over the last few years. E-mail has always been a popular way to distribute content and market directly to consumers, and as more and more people begin using ad-blocking software, the popularity of newsletters has only increased. A good mailing list gives both content creators and small business opportunities to connect with their audiences directly.
Before the acquisition, Revue used to keep 6% of the revenue made by its paid newsletters. Meanwhile, Substack, the company’s main competitor in the paid newsletter business, gets a 10% cut of the revenue generated by its users. By reducing that fee down to 5% and making pro features free, Twitter will further undercut Substack’s pricing.
The Revue acquisitions is the latest in a string of startup acquisitions made by the social media company in the last couple of months. Back in December, Twitter acquired the social video company Squad. And in January it acquired Breaker, a social broadcasting service. It’s all part of the platform’s efforts to expand its functionality and create new revenue streams.