Twitter: Towing the Clown Car Out of the Goldmine - [Business Breakdowns, EP. 45]

I’m Zack Fuss, and today we are breaking down Twitter, a business that needs little introduction. Founded by Jack Dorsey in 2006, Twitter has become one of the most visited and influential platforms in the world. Yet, despite its rising social status, investors and users have been left frustrated by the company’s pace of innovation and shareholder returns. To help me break down Twitter’s business, I’m joined by anonymous professional investor, @Compound248. Please enjoy this breakdown of Twitter.

For the full show notes, transcript, and links to the best content to learn more, check out the episode page here.

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Show Notes

[00:02:40] - [First question] - The history of Twitter and where we are today

[00:10:44] - The size and scope of Twitter and what drives their business and unit economics

[00:18:54] - Reconciling differences between Twitter and competitive social media platforms

[00:24:36] - Bridging the gap between Twitter and their competitors

[00:29:38] - What about their legacy system had to be rebuilt in order to grow again

[00:34:35] - Unique shareholder dynamics, activists in the boardroom, and leadership change; Compound's open letter to Management

[00:43:35] - Capital allocation and how investment analysts look at and measure their ROI

[00:49:00] - Efforts to innovate around new use cases and Twitter’s opportunity set

[00:55:30] - What builders and investors can learn from studying Twitter’s story