Disney reportedly eyes Twitter for potential buyout
The media powerhouse may be the latest company to go after Twitter, Bloomberg News reports. That could pit Disney against Google and Salesforce.
Disney may be making a bid for Twitter.
If there's smoke, there must be fire. In this case, the heat centers on a Twitter purchase as Walt Disney becomes the latest company rumored to eye the stagnating microblogging service, according Bloomberg News.
The report Monday follows CNBC's story last week that several tech companies, including Google and Salesforce, would soon make formal bids for Twitter.
Disney's interest stems from Twitter's ability to distribute video streaming to a global audience, according to Bloomberg. That could give the media powerhouse, which owns ABC and ESPN, a new channel for sports, news and entertainment as fewer people watch TV. Twitter said in July that mobile video would help it attract more users and advertisers.
Twitter and Disney didn't immediately respond to requests for comment.
Rumors of a potential buyout have been percolating for almost a year after Twitter reported three consecutive quarters of zero user growth. In July, the company told investors it's having trouble competing for advertising dollars. The string of bad news made Twitter a more affordable acquisition target as investors abandoned the company.
In February, Twitter's market value fell to less than $10 billion, an all-time low, then rose gradually to last week's $13 billion market cap.
As of Monday, any acquirer would have to pony up more than $20 billion as investors rushed to capitalize on a potential takeover.