Back
S&P Global

Twitter surges amid subscription chatter; Microsoft flies high on cloud optimism

July 10, 2020
Mark Zgutowicz

Shares of major technology and entertainment companies notched gains in the week ended July 10 even as a surge in COVID-19 cases continued to weigh on the broader market.

The S&P 500 and Dow Jones Industrial Average tumbled this week as confirmed COVID-19 cases in the U.S. passed 3 million and investors began reassessing their once-optimistic bets on a smooth economic recovery.

Twitter Inc. stock, however, shot up to new highs this week after the company hinted at plans to offer a subscription-based service.

The platform this week posted a job listing seeking a senior full-stack software engineer who will become part of "Gryphon," a new team that is building a subscription platform.

Rosenblatt Securities analyst Mark Zgutowicz, though, said Twitter is "highly unlikely" to consider a paid subscription offering. The company may instead provide a subscription tier "for data and analytics that its power users may consider," but the initial total market would be less than 10 million users, he noted.

Link to Full Article

Recent Posts

Back To List