01Oct11:06 amEST

Twitter Down, Stock Up, Because the Medium is the Message

You may have seen the film, The Social Network (2010), which tells the true life story of Mark Zuckerberg's rise to fame and fortune as Facebook came to be. 

In the film, there is a memorable scene where Zuck explains why the site simply can never stop functioning and why Facebook must never go down.

Mark Zuckerberg: Do you realize that you jeopardized the entire company? Do you realize that your actions have destroyed everything I've been working on?
Eduardo Saverin: We have been working on.
Mark Zuckerberg: Without money, the site can't function. Let me tell you difference between Facebook and everybody else. We don't crash ever! If the serves are down for even a day, our entire reputation is irreversibly destroyed.
Eduardo Saverin: Look...
Mark Zuckerberg: Users are fickle. Friendster has proved that. Even a few people leaving would reverberate through the entire use base. The users are interconnected. That is the whole point. College kids are online because their friends are online. and if one domino goes, the other dominos go. Don't you get that? I'm not going back to the Caribbean Night at A-E-Pi!
Interestingly, we saw the Twitter platform essentially crash on most or all users for one of the lengthier delays in recent memory. Twitter will occasionally become glitchy which, at this phase in its growth as a household name and publicly-traded name at more than $36 billion market cap, should be deemed totally unacceptable as Zuck would have basically said. 
However, as a multi-year investor in TWTR, since the $16 handle inside the long-term investing VIP arm of Market Chess Subscription Services, I am not too surprised by this morning's outage. Reason being: I was never investing in TWTR due to their brilliant management. In fact, part of my thesis is that TWTR would eventually thrive in spite of its mismanagement. But the platform and medium itself is a winner, and will continue to be so despite how chic it may be to dream of a competing platform with more "freedoms" and less glitches. 
Furthermore, the stock totally ignored the platform outage this morning and is up nearly 2.5% as I write this, still threatening a monthly chart explosion higher, seen below. 
I still think TWTR is ripe for a massive, AOL-Time Warner type of buyout as the bull market parties on, to boot. 
Overall, though, the key takeaway from another absurd Twitter platform outage is that the market shrugged it off and may finally be coming around to the idea that regardless of how poorly managed the firm can be at times, the platform itself will be a winner for some time to come. 

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