Twitter finally provided some clarity about its plans for subscriptions today, unveiling what it calls Twitter Blue, now going live in Canada and Australia. For about $3 a month, hardcore Twitter users can get what can only be described as minor enhancements, such as the ability to undo a tweet within 30 seconds of sending it. This won’t transform Twitter’s business.
Sure, it could provide a fillip to revenue—by $700 million to $800 million a year, at a stretch. As Twitter described it today, this is aimed at power users—those people who use Twitter a lot (don’t ask why). Let’s assume a tenth of users could be described that way, which seems reasonable given this survey by the Pew Research Center last year which found that “just 10% of users produced 92% of all tweets from U.S. adults.” Extended internationally, that implies 20 million people, which adds up to around $750 million a year, judging by the subscription prices unveiled today.