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James Martin/CNET
Twitter on Wednesday announced it’s acquiring a small New York start-up called Niche, which connects social media stars with brands in order to create sponsored content. Think of it as a sort of talent agency for Twitter and Vine celebrities.
Twitter did not disclose terms of the deal, only that it’s signed an agreement to buy Niche, describing it as “a provider of software, community and monetization services for the growing creative community.” Recode cited people familiar with the transaction pegging it at about $30 million.
As social media has created its own celebrities, advertisers have taken notice and apparently so too has Twitter. Its Vine service, which lets users share six-second videos, has given rise to its own stars.
“The talent and creativity across the entire media landscape is incredible, and we hope this acquisition continues to inspire people to create great content,” the company wrote in a blog post announcing the Niche acquisition.
In addition to helping social media influencers and advertisers partner up to make money, the Niche buy also creates a new revenue stream for Twitter, something the company needs as it tries to convince investors of its long-term potential for profitability. Last week it posted its third-straight quarter of profit, and it touted new ways for advertisers to reach customers.
The following is an example of work Twitter did with Niche, which led to a TV commercial made entirely of Vines, Twitter said: