Boston, MA 06/04/2014 (wallstreetpr) – With messaging and social networking growing at an exponential growth, Twitter Inc (NYSE:TWTR) is expected to have nearly 400 million users of its messaging services. This number though is a bit changed because once the company estimated it to be 1 billion. The speculation suggests that this messaging service of TWTR will see an elevated growth in major developed markets in next 5 years which will mostly be Asia, Latin America and parts of Middle East. While it is expected that by 2018, its growth will decline steadily in the markets of Japan and the United States.
Further Speculation made by TWTR
The company disclosed last year that the U.S accounts for nearly three-quarters of Twitter Inc (NYSE:TWTR)’s revenue and was once considered to be the next Facebook Inc (NASDAQ:FB). But somehow, the company had a stagnant position in the first two-quarters of its growth phase. Nevertheless, the craze for social networking and messaging is just started and holds a high potential in the merging markets and its is expected that India and Indonesia will cross the U.S in having TWTR user population. Further, the company expects to see nearly 60% user growth in India by the end of this year owing to the recently concluded elections and immense tweeting throughout. So at least for this year, they are counting too much on India.
Points that can hamper TWTR’s growth rate and speculation
But at one corner of mind, Twitter Inc (NYSE:TWTR) takes its dependence on developing countries as a weakness and the reason behind this is that digital advertising prices are far lower in emerging markets than the emerged ones. Also, the user growth can be seriously affected by the fact that China has banned Twitter and Facebook. Recently Twitter Chief Executive Dick Costolo personally met the local government authorities of China when the Chinese state media downplayed his visit and TWTR reached the conclusion that they should not launch any operations in the country.
