Why Twitter’s new developer platform, Fabric, helps monetize apps


Nov. 20 2020, Updated 12:16 p.m. ET

Twitter released a developer platform named Fabric

A few days back, at Twitter’s (TWTR) first mobile developers conference, Flight, the company released a new developer toolkit named Fabric for developers to create mobile apps. The developers can integrate this toolkit with their apps so as to get crash reporting, beta testing, and analytics information regarding their apps. This platform also helps developers monetize their apps.

During the conference call to announce earnings, Twitter’s management mentioned that Fabric is already used by tens of thousands of developers around the world and its collective reach is over 1 billion Apple (AAPL) iOS and Google (GOOG)(GOOGL) Android devices.

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Analyzing their apps’ performance is an important parameter for developers for monetization purposes. Twitter has combined the capabilities of Crashlytics and MoPub to form Fabric. Crashlytics is a company Twitter owns that helps developers debug and test new apps. MoPub is another company that Twitter acquired last year, which helps mobile developers manage their ad inventories.

Twitter now joins Facebook in having developed its own ad network

With Fabric, Twitter now joins Facebook (FB) in having developed its own ad network. Facebook has Atlas, which is an ad server that allows advertisers to make automated bids for ad inventory.

Market Realist published an interesting analysis on how Amazon (AMZN) and Facebook are looking to cut Google’s ad business by developing their own tools in an article titled Why Amazon and Facebook are trying to cut Google’s ad business.

The most important thing in favor of Twitter is that it now generates 85% of its revenues from mobile. As the chart above shows, the mix of revenue from mobile for Facebook is below that of Twitter at 62%. Increasing mobile penetration keeps developers interested. It helps them monetize their mobile apps better.


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