Home Stock These two social networks could steal market share from Twitter

These two social networks could steal market share from Twitter

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Twitter Inc (NYSE: TWTR) is in focus on Wednesday after Elon Musk revived his $44 billion takeover deal with the social network.

Twitter will likely return to the stock exchange

If he follows through, Twitter could become a private company in the coming weeks. But Rohit Kulkarni – Head of MKM Ventures says the microblogging platform is “too large to stay private”.

Regardless of whether it’s private or public, there would be public scrutiny, in my opinion. So, Twitter is better off restructured in the private market and come back as a public company with healthier fundamentals.

Despite challenges, Twitter continues to grow its monetizable daily active users that were up 15% year-on-year in its latest reported quarter. (read more)

Twitter shares are now catching up with the deal price.

Pinterest and Snap could steal share from Twitter

Among the changes that Musk is expected to execute at Twitter, turning it into a subscription service is one.

Then of course, there’s the matter of finding a new management team. While it goes through that restructuring, Kulkarni said on CNBC’s “Squawk on the Street”, rivals could win “some” share from Twitter.

In the near-term, there could be more market share shift away from Twitter into smaller, other social media apps as Twitter figures out its core business and advertisers [look for other ways] to allocate their dollars on an incremental basis.

Two names in particular that are most likely to win that share, he added, are Pinterest Inc (NYSE: PINS) and Snap Inc (NYSE: SNAP).

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