Is Facebook right to walk away from takeover talks with Twitter?

Facebook has walked away from talks to buy Twitter, the micro-blogging site and latest new media sensation, because it felt the $500m price tag was too high.

Is Facebook passing up the chance to buy the next big thing - something that could eclipse its own offering? Will the social networking website fail to continue to grow at its current rate without canny acquisitions? Is there a danger Facebook is opening up an opportunity for a rival to steal its thunder by buying Twitter? Or is Twitter just the latest overnight sensation that could disappear tomorrow?

Once the gloss wears off of the "Web 2.0" trend, Twitter will fade in to distant memory, with everyone wondering how, in such difficult times, no one had learnt from the initial burst bubble, especially with regards to a company that hadn't even worked out how (or if it was even possible) to make a single penny from its service or brand.

Isn't twitter over already? Faceache would be better off investing in the Next Big Thing, not Last Week's Big Thing.

I am slightly concerned the hype of Twitter may already be dying out although having said that, many companies are using it as a way of communicating quickly to their audiences which is proving successful, given advertising is currently only allowed on the Japanese version. Facebook is surely correct in not investing given the current economic climate and the fact that Twitter is only in its infancy. I personally just cannot see Twitter ever experiencing the kinds of success that Facebook has achieved, although having said that Barack Obama used it in his campaigning....I just think the speed at which the site is growing will decelerate out soon, especially as people are becoming more frustrated with the technical errors Twitter seems to encounter on a regular occasion.

 Definitely right!

 
Viva el spreadsheets and P&L statements xx

I agree with you but businesses are actually over using this platform - which I think is not the best move. There are other social media sites available with better reputation and publicity....

Yes I definitely agree it is over used, I think that far more innovative and specific sites could be used for a lot of the companies that use Twitter. I think some companies are using it well as it provides a quick communication method for them, whilst others seem to be using it simply to follow trend and cost efficiency.

yup i agree wid it.