Disney No Longer Bidding For Twitter

According to Recode, Disney is no longer pursuing a bid for Twitter, following Google also deciding not to bid.  This leaves Salesforce as the only potential buyer and Twitter shares dropped by 9% in after-hours trading.

Disney have be looking at other digital distribution outlets for its content as traditional media usage drops.  Also Twitter CEO Jack Dorsey also sits on the Disney board.

Our Take:

Disney have made many big purchases over the years, Twitter just didn’t seem to make too much sense considering there are other major social media outlets out there like Facebook and Snapchat.  There had been rumours of Disney also looking to purchase Netflix. So Disney are obviously looking around for distribution networks, but personally I’d like the money to be invested in creating new content, new characters etc, rather than buying a single outlet, which is mor traditional thinking since there are so many digital video outlets today.

What do you think of this news?