IBM and Twitter Team Up to Give Business a Gauge Powered by Social Media

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IBM and Twitter announced a global partnership on Wednesday during a conference in Las Vegas. The thought was to give IBM’s data analysis business access to Twitter’s data that consists of a number of people expressing interests, wants, and worries on various topics. The goal is to enhance business decision-making with the input of Twitter data. IBM wants to be the technology vehicle to deliver this data. This could improve business decisions in areas such as marketing to product development and be a great revenue opportunity for both IBM and Twitter.

Along with having full access to Twitter messages, both public and archived, IBM and Twitter will jointly develop software tools to be used by business customers and IBM will train its consultants on how to handle Twitter data in business, which is a gap in most companies. IBM plans to first integrate Twitter data in its cloud-based data analysis services and work with Twitter in developing software applications. This will enable IBM to offer Twitter-enhanced products to a large number of its customers rather than having to start from scratch.

In my opinion I feel that this partnership makes sense for both companies. It provides IBM a chance to grow in a different platform that they operate in. For Twitter it brings in the potential to increase advertisement revenue (bringing in new potential customers and increasing ad prices for current ones) as well as bring in revenue from the software applications being developed and used by customers. One concern of the data that is generated from Twitter is reliability of the data and how companies will use that data in their business decision-making.

Do you think that this IBM and Twitter partnership is a good idea? Do you foresee other big companies forming partnerships with social media companies to develop tools to use real time data? Do you foresee any downfall to this type of partnership?

http://bits.blogs.nytimes.com/2014/10/29/ibm-and-twitter-team-up-to-give-business-a-gauge-powered-by-social-media/?_php=true&_type=blogs&smid=nytcore-ipad-share&smprod=nytcore-ipad&_r=0

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3 thoughts on “IBM and Twitter Team Up to Give Business a Gauge Powered by Social Media

  1. This article is very timely based on the recent announcement that IBM revenues have been falling consistently and after ten consecutive quarters, Ginni Rometty announced that “Roadmap 2015”, (a plan that IBM’s earnings would double to reach $20 per share) couldn’t be reached. The partnership is an indication that IBM is quickly seeking new opportunities for much needed growth. Overall, IBM was late to the Cloud market and with Amazon and Google at the Cloud forefront; IBM needs to “pick up the pace” as Rometty is trying to turn the Company around. The Twitter partnership is one of a few announced recently as IBM has also just paired up with Tencent to build a new Cloud for Chinese businesses, with SAP’s Cloud offering and with Apple for software applications for iphones and ipads. With regard to Twitter, I think it’s a good move as IBM brings expertise to the table with data centers, computer security, and disaster recovery. The article also mentioned that IBM would offer Twitter enhanced products (enterprise apps) for large amounts of business customers, versus each project having to be started up from scratch.

    • I also agree that IBM is making a good strategic decision to partner with Twitter and enter into “real time social media data delivery service” with custom products that will help make sense of this data.

      For a long time there has been a race for big data and if IBM can figure out how to use and interpret big data most successfully, they will have a unique advantage. Furthermore, analytics and software development capabilities are part of IBM’s core competencies and if they can leverage Twitter’s data sources, I only see good things coming their way.

  2. I believe that the partnership between IBM and Twitter will establish ample opportunities for retail companies. This partnership will form new immediate markets where supply and demand can be faster met because companies will know what individuals will want in real time. With that advertisements for products can be displayed to individuals who had just tweeted about it.

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