Why VCs love Twitter's downtime problems
Last we heard about microblogging service Twitter's latest funding round, Union Square Ventures partner Albert Wenger told us — and, via Twitter, the world — that he was taking a lunch meeting at Twitter HQ. That was April 25. Despite rumors of an imminent deal, there's been no announcement. So why can't Wenger and his USV partner Fred Wilson close the deal? One theory: an unexpected bidding war over a service that grows more mainstream every day. A source familiar with this type of funding situation explains: "You know that thing about failure is an orphan, success has a million dads? VCs want to buy the right to say Twitter was theirs." And for this crowd, Twitter's downtime problems are a bonus.
The scaling shit only bugs nerds. Most people aren't doing enough messaging volume to notice. The people bitching are the ones who would never leave. Actually, whoever invests in Twitter is getting IP rights to something that solves a whole *class* of scaling problems, i.e. not just what's wrong with Twitter. I mean, I assume Twitter is a feature of everything going forward. Either Twitter proper, or that capability. That means everyone who succeeds will encounter this issue. If there's five non-Google companies in the world who've figured this out, I'd be shocked.
That, and the right to thump their chests and brag to their VC buddies that their money solved Twitter's breakdowns.