Twitter Acquires Breaker: Boosting Twitter Spaces | News

Twitter has completed the acquisition of the social broadcasting application Breaker, as jointly announced by both companies through blog posts and on the Twitter platform. This agreement will incorporate Breaker’s personnel into the Twitter organization to contribute to “enhancing the quality of public discourse” on the service and to support the development of Twitter’s innovative audio-based networking initiative, Twitter Spaces. However, the Breaker application itself will cease operations on January 15, 2021.

Update: According to a post on the Breaker blog, the application has been preserved. Rather than being discontinued as initially reported, Maple Media will “assume control of Breaker’s applications,” as stated by the acquired company.

Breaker revealed the acquisition on its official company blog, detailing the rationale behind its belief that its team would be a valuable addition to Twitter.

“We at Breaker are deeply committed to audio communication and are inspired by Twitter’s efforts to facilitate public conversations globally,” stated Breaker CEO Erik Berlin. “We admire the innovative spirit within Twitter and are excited about the new user experiences the team is creating.”

Established in 2016, Breaker was spearheaded by CEO Berlin, who previously founded and served as CTO of social advertising firm 140 Proof (later acquired by Acuity), and CTO Leah Culver, the founder of Pownce and Grove, and a co-author of the web technologies OAuth and oEmbed.

The application debuted during a period when podcasts were largely considered audio feeds and podcast applications were primarily viewed as productivity tools—not platforms for building communities. Breaker played a role in shifting this perspective by providing a platform where users could express appreciation for and comment on episodes, discover new podcasts through their connections, and share their favorite programs on social media, among other features.

As indicated in Culver’s post on Twitter, she will be joining Twitter with a primary focus on Twitter Spaces, Twitter’s audio-based social networking offering and a competitor to Clubhouse. Spaces enables Twitter users to engage in real-time conversations using voice, rather than text, as is currently standard. This new feature began beta testing in December. Twitter is presently addressing both the technical challenges and bugs associated with the feature, as well as the more intricate issues related to hosting live audio, including content moderation.

In a separate Twitter communication, Twitter Engineering leader Michael Montano verified that Berlin, Culver, and Breaker designer Emma Lundin will all be transitioning to Twitter as a result of the acquisition.

He also commended both Berlin and Culver for their entrepreneurial drive and Culver’s long-standing advocacy for open standards.

https://twitter.com/michaelmontano/status/1346213222416850944

When contacted for a statement, Twitter directed inquiries to Montano’s tweet but did not provide any additional information regarding the acquisition, its financial terms, or future strategies.

Breaker has announced that it will be closing its applications and services in the coming days.

On January 15, 2021, Breaker will permanently discontinue its services. Prior to this date, Breaker users will have the option to export their OPML file to transfer their subscriptions to another podcasting application. Breaker suggests alternatives such as Apple Podcasts, Spotify, Stitcher, Overcast, Pocket Casts, or Castro. Podcast hosts utilizing Breaker can migrate their content to other platforms via their RSS feed.

The acquisition of Breaker contributes to the recent trend of mergers and acquisitions within the podcasting industry. However, unlike recent transactions involving podcast content, Breaker’s sale centers on its personnel and technology, rather than the podcasts themselves. This aligns with Twitter’s broader strategy of aggregating content from external sources rather than creating its own.

The financial details of the Breaker deal remain undisclosed, but it appears to be a relatively modest transaction. This suggests that while the company’s exit to Twitter represents another success story for podcasting companies, it reinforces the prevailing view that podcasting services and content may have limited overall value.

This acquisition follows other recent podcast content deals, including Amazon’s $300 million purchase of Wondery, Sirius’ acquisition of Stitcher for $300 million, and Spotify’s numerous content acquisitions.

The recurring valuation of approximately $300 million for another podcast service has become a notable observation. While seemingly substantial, this figure does not typically represent the type of return sought by venture capitalists. Consequently, the partnership between Breaker and Twitter does not challenge the notion that establishing a company focused on podcasting may involve inherent limitations on future growth potential.

It remains to be seen whether venture capitalists will adjust their investment strategies in the podcasting sector in 2021, but Breaker’s sale offers little evidence to discourage private investors from exercising caution.

The primary beneficiary of the Breaker acquisition is Twitter, which gains valuable expertise as it enters a potentially thriving new market in 2021: voice-based social networking—an idea that may have gained traction due to increased time spent at home during the pandemic. With the cancellation of conferences and social gatherings, many individuals sought improved methods for online connection.

However, it remains uncertain whether Twitter—a platform that has faced public criticism regarding online toxicity and moderation shortcomings—will be able to establish audio networking as a secure environment for users, or whether it will exacerbate Twitter’s existing challenges in these areas. It also remains to be seen if voice-based networking will maintain its relevance in a post-COVID world where in-person interactions are once again possible, rather than relying on platforms like Twitter Spaces.