Until the very end, the citizens of Pompeii continued their decadent lives, until being buried for eternity. So may well be the case with web 2.0, with news via CNet that Twitter has raised a new round, believed to be around $25 million, on a $250 million valuation.
$250 million for a service that has never so much made one cent of revenue, and has only just hired a business guy to create a revenue model for them.
Sorry, but GTFO.
Sure, Twitter has become immensely popular, but so is email and sex, and not many people make good money from either, and at least there's a clear revenue model.
The bigger question: what do they need another round for? They've raised $20 million already, with the last round being $15 million in June 2008. Either they plan on acquiring a revenue model, or they've run out of money already, and if that's the case, why are they getting more exactly?
(img credit: Brettner)