• Home
  • Latest
  • Fortune 500
  • Finance
  • Tech
  • Leadership
  • Lifestyle
  • Rankings
  • Multimedia
TechFortune Data

Why IBM and Twitter did a data analytics deal

Andrew Nusca
By
Andrew Nusca
Andrew Nusca
Editorial Director, Brainstorm and author of Fortune Tech
Down Arrow Button Icon
Andrew Nusca
By
Andrew Nusca
Andrew Nusca
Editorial Director, Brainstorm and author of Fortune Tech
Down Arrow Button Icon
November 3, 2014, 7:22 AM ET
Twitter's IPO Filing Implies $12.8 Billion Value Amid Growth
A user checks a Twitter feed on a smartphone in this arranged photograph taken in London, U.K., on Friday, Oct. 4, 2013. Twitter Inc.'s initial public offering documents suggested a valuation of $12.8 billion for the microblogging service, underscoring the seven-year rise of a still unprofitable company that has helped revolutionize how people share information. Photographer: Chris Ratcliffe/Bloomberg via Getty ImagesPhoto by Bloomberg—Getty Images

Last week, IBM (IBM) and Twitter (TWTR) announced a data analytics partnership that in essence allows the former to incorporate the latter’s data into its products for businesses. They’re unlikely bedfellows to say the least, but there’s a method to the madness, says IBM’s Alistair Rennie, general manager of the company’s Business Analytics group, and Twitter’s Chris Moody, its vice president of data strategy.

They called me from the Mandalay Bay casino and hotel in Las Vegas. Here’s what they said, edited and condensed for clarity.

Rennie: There are three basic elements. First, we are going to integrate Twitter data with our cloud analytics tool to make it easy for customers to reach it. The second is we’ll team up to make solutions for very specific business needs, such as marketing and customer care. Lastly, IBM will train and certify 10,000 consultants on a global basis to be experts of the Twitter platform.

Moody: Twitter has a lot of relationships with a lot of executives. We have big brand relationships with companies advertising on Twitter. Executives ask how they can be more innovative. We can provide them with data but it’s just that—very large volumes of raw data, so it’s not actually useful to them. How do we get started? How do we get there? That’s not an easy question to answer. Our data is useful, we need someone to come along and build value on top of it and combine it with other data sources.

Twitter is ultimately the most important archive of human thought that has ever existed. It really does represent the voice of the planet. The question I would pose to business leaders is, if you were thinking of a particular business decision, would you want the world to weigh in? If I’m a retailer and my inventory system says 15 items are out of stock, my system can’t tell me which to restock and which to stop carrying. If we ask customers, they could be upset or not talking about it at all. It’s an additional lens into a human decision.

An example on a more macro scale would be: You manufacture computers. Your big challenge is figuring out what to make and how much to make of it. For the former, you can figure out what people are talking about that they most value and what the weaknesses are in a competing product. You can also talk about what you’re building and get a reaction from consumers.

Rennie: Like any application of analytics, the driver is never technology—it’s business outcome. The more data you can bring to that problem, especially when it’s an incredibly unique dataset like Twitter, the analytics become better and the decisions become clearer.

Moody: Customer service probably had its last big revolution in the 1950s and 1960s when call centers were introduced. That opened up a channel for customers to reach out when they had a need. Fundamentally it hasn’t changed—it’s a very reactionary business. Consumer companies are often finding that they’re spending time dragging themselves out of a hole to get the customer back to being okay with their service. If you think about Twitter as a platform, people are openly sharing their experiences with products. So you can really take a new look around doing service with your products and how they’re thinking about your products. If they’re really frustrated with battery life, instead of waiting for them to call you to cancel their contract, you can talk to them proactively and even tie that back into product development.

Rennie: We’re very early in using these platforms at scale. There’s a whole set of interesting use cases: research and development, pharmaceuticals and introducing a new protocol, fine-tuning a supply chain and looking for global disruption of it. Marketing, logistics, human resources, and well beyond.

Moody: At Twitter, it is not uncommon to start a conversation around data and an executive says hey, I keep hearing things I can do with Twitter data, tell me more, and I say, well what are your top five problems, and then we talk about how our data can be informative. We’re talking about high-volume raw data. There’s lots of information in the payload of a tweet, much more than 140 characters.

The benefits for Twitter fall into a couple buckets. Number one, the most important, is that we believe as companies start to run their business operations on Twitter they will naturally understand the platform better and will be more likely to engage on the platform. All kinds of good things happen for Twitter when that happens. It gets our data more deeply distributed inside of enterprises, which we believe will have real benefits in terms of future engagement with our platform, whether through adoption or advertising.

Rennie: From an IBM perspective, we think having this data is a big differentiator in terms of our ability to attract clients.

This item first appeared in the Nov. 3, 2014 edition of Data Sheet, Fortune’s daily newsletter on the business of technology. Sign up here.

About the Author
Andrew Nusca
By Andrew NuscaEditorial Director, Brainstorm and author of Fortune Tech
Instagram iconLinkedIn iconTwitter icon

Andrew Nusca is the editorial director of Brainstorm, Fortune's innovation-obsessed community and event series. He also authors Fortune Tech, Fortune’s flagship tech newsletter.

See full bioRight Arrow Button Icon

Latest in Tech

Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025

Most Popular

Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Fortune Secondary Logo
Rankings
  • 100 Best Companies
  • Fortune 500
  • Global 500
  • Fortune 500 Europe
  • Most Powerful Women
  • Future 50
  • World’s Most Admired Companies
  • See All Rankings
Sections
  • Finance
  • Fortune Crypto
  • Features
  • Leadership
  • Health
  • Commentary
  • Success
  • Retail
  • Mpw
  • Tech
  • Lifestyle
  • CEO Initiative
  • Asia
  • Politics
  • Conferences
  • Europe
  • Newsletters
  • Personal Finance
  • Environment
  • Magazine
  • Education
Customer Support
  • Frequently Asked Questions
  • Customer Service Portal
  • Privacy Policy
  • Terms Of Use
  • Single Issues For Purchase
  • International Print
Commercial Services
  • Advertising
  • Fortune Brand Studio
  • Fortune Analytics
  • Fortune Conferences
  • Business Development
  • Group Subscriptions
About Us
  • About Us
  • Editorial Calendar
  • Press Center
  • Work At Fortune
  • Diversity And Inclusion
  • Terms And Conditions
  • Site Map
  • About Us
  • Editorial Calendar
  • Press Center
  • Work At Fortune
  • Diversity And Inclusion
  • Terms And Conditions
  • Site Map
  • Facebook icon
  • Twitter icon
  • LinkedIn icon
  • Instagram icon
  • Pinterest icon

Latest in Tech

Even Nvidia’s own research teams can’t get enough GPUs amid the race for AI computing power
NewslettersEye on AI
Even Nvidia’s own research teams can’t get enough GPUs amid the race for AI computing power
By Sharon GoldmanApril 9, 2026
7 hours ago
You’re looking at the AI revolution all wrong, top economist says: 40% unemployment and a 3-day work week are the same thing
AIdisruption
You’re looking at the AI revolution all wrong, top economist says: 40% unemployment and a 3-day work week are the same thing
By Nick LichtenbergApril 9, 2026
8 hours ago
Zoom CEO Eric Yuan
Successthe future of work
‘I hate working 5 days’: Zoom CEO says traditional work schedules are becoming obsolete—and predicts a 3-day workweek by 2031
By Preston ForeApril 9, 2026
9 hours ago
Nutella seen aboard the Orion spacecraft Integrity.
RetailFood and drink
Nutella jumps on the best product placement money can’t buy: a trip to the far side of the moon
By Catherina GioinoApril 9, 2026
10 hours ago
kash
Cybersecuritycyber
Trump’s ‘cease-fire’ won’t stop Iranian hackers for long, cyber experts say
By David Klepper and The Associated PressApril 9, 2026
10 hours ago
lego
PoliticsIran
AI-savvy pro-Iran groups troll America with Lego Movie-style propaganda videos mocking American failure
By Sam McNeil and The Associated PressApril 9, 2026
11 hours ago

Most Popular

The U.S. government is spending $88 billion a month in interest on national debt—equal to spending on defense and education combined
Economy
The U.S. government is spending $88 billion a month in interest on national debt—equal to spending on defense and education combined
By Fortune EditorsApril 9, 2026
12 hours ago
2 years ago, Saudi Arabia quietly canceled the ‘petrodollar’ deal with America that wired the world economy for 50 years. Then war broke out in Iran
Energy
2 years ago, Saudi Arabia quietly canceled the ‘petrodollar’ deal with America that wired the world economy for 50 years. Then war broke out in Iran
By Fortune EditorsApril 7, 2026
2 days ago
The U.S. had a national debt ‘home run’ in its grasp, says Jamie Dimon. But the government did nothing, and now its best option is crisis management
Economy
The U.S. had a national debt ‘home run’ in its grasp, says Jamie Dimon. But the government did nothing, and now its best option is crisis management
By Fortune EditorsApril 8, 2026
2 days ago
Self-made billionaire MrBeast says his work-life balance is nonexistent and calls it a ‘miracle’ if he works less than 15-hour days: ‘I live to work’
Success
Self-made billionaire MrBeast says his work-life balance is nonexistent and calls it a ‘miracle’ if he works less than 15-hour days: ‘I live to work’
By Fortune EditorsApril 8, 2026
1 day ago
Gen Z workers are so fearful AI will take their job they’re intentionally sabotaging their company’s AI rollout
AI
Gen Z workers are so fearful AI will take their job they’re intentionally sabotaging their company’s AI rollout
By Fortune EditorsApril 8, 2026
1 day ago
Gen Z doesn't want your full-time job. They want several part-time roles, and it's reshaping the entire workforce
Success
Gen Z doesn't want your full-time job. They want several part-time roles, and it's reshaping the entire workforce
By Fortune EditorsApril 9, 2026
16 hours ago

© 2026 Fortune Media IP Limited. All Rights Reserved. Use of this site constitutes acceptance of our Terms of Use and Privacy Policy | CA Notice at Collection and Privacy Notice | Do Not Sell/Share My Personal Information
FORTUNE is a trademark of Fortune Media IP Limited, registered in the U.S. and other countries. FORTUNE may receive compensation for some links to products and services on this website. Offers may be subject to change without notice.