updated 06:15 pm EDT, Mon May 2, 2011
Twitter locked into TweetDeck buyout
Rumors that Twitter would buy TweetDeck firmed up on Monday night after a source said the deal was now settled. The terms reportedly had the app developer being sold for at least $40 million and as much as the $50 million reported earlier. In talking to TechCrunch, the source claimed that it would be formally unveiled within the next few days.
Sustained rumors had TweetDeck possibly selling to UberSocial's creator UberMedia for a much lower $25 million to $30 million and so close that the deal was nearly signed. Twitter reportedly leapt in at the last minute to prevent UberSocial from having too much influence in the Twitter app space after having already gained EchoFon and UberSocial.
Neither party confirmed the deal.
A possible buyout has been rumored as a way of fast-tracking Twitter's expansion into the UK but has already drawn attention from critics worried about consolidation. Twitter bought Atebits and converted Tweetie into the official Twitter app, and a new takeover would put not just a major mobile app into Twitter's hands but desktop and Android apps as well.
Twitter has been trying to discourage excessive Twitter app development and may use the buyout as a way of reducing the diversity of apps.