People familiar with the matter said that Twitter has negotiated in recent months to acquire the audio-based buzz club social club Clubhouse.

People familiar with the matter said that the two companies discussed Clubhouse’s potential valuation of approximately US$4 billion (approximately Rs 29,740 crore), and since the matter is private, they asked not to be named. The person familiar with the matter added that the discussion is no longer going on and it is not clear why it stopped.

A Twitter spokesperson declined to comment. Representatives of the clubhouse did not immediately respond to a request for comment.

Bloomberg News reported earlier this week that Clubhouse is discussing how to raise funds from investors to bring the company’s value to approximately US$4 billion (approximately 29.74 billion rupees). After negotiations with Twitter failed to continue, Clubhouse began to study whether it made sense to raise funds at this valuation. The application allows users to host their own online radio programs. Listeners can listen to and accept interviews or group discussions, and request to participate in real-time chats.

The clubhouse is less than a year old, but it has already attracted the appearance of some prominent figures in the business world and Hollywood. Well-known social media companies have quickly started using their own version of Clubhouse, including Twitter. Facebook is also exploring one, and Microsoft’s LinkedIn and Slack have also stated that they are developing similar features for their networks.

Twitter shares rose by about 3% on Wednesday, bringing the market value of the San Francisco-based company to $55.1 billion (approximately Rs 4,09,760 crore).

See also  Holding Facebook, Twitter, WhatsApp, YouTube is responsible for spreading hatred, fake news: the Supreme Court's plea

Twitter’s Clubhouse competitor called Spaces was launched in late 2020, although it is still in beta and not all users can create or host public discussions. CEO Jack Dorsey is optimistic about the potential of audio as a new way for people to interact on Twitter, and the company has long been betting on real-time content through partnerships and acquisitions. At a press conference on Wednesday, Twitter’s head of revenue products, Bruce Falck, said that the company is considering ways to profit from space, but these discussions are still in the early stages.

-With the assistance of Ellen Huet.

Copyright ©2021 Bloomberg LP

What is the best phone under Rs. Now there are 15,000 in India? We discussed it on the gadget 360 podcast Orbital. Later (from 27:54), we talked with Neil Pagedar and Pooja Shetty, the creators of OK Computer. Orbital is available for Apple Podcast, Google Podcast, Spotify and wherever you get podcasts.