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September 14, 2010
September 14, 2010

Twilio Adjusts Pricing Structure to Cultivate Growth

By Beecher Tuttle, TMCnet Web Editor

Officials with Twilio (News - Alert), a leading provider of communication-based APIs, recently announced that they are restructuring the company’s pricing in an effort to further develop their customer base and advance the brand, according to TechCrunch.

By utilizing Twilio’s service and infrastructure, developers are able to add phone and text functionality to their applications with minimal hassle. Under the newly adjusted pricing – which has already taken effect – customers can have access to the San Francisco startup company’s service at a marked discount.

Twilio CEO Jeff Lawson told the news source that developers can expect to see up to a 66 percent discount compared to the previous rates. Under the new structure, inbound phone calls will cost developers one cent every minute, while outbound calls will cost two cents. Every SMS text message that is either sent or received will be billed out at 3 cents apiece.

Lawson attributed the modification in pricing to the company’s recent success. He noted that Twilio’s burgeoning customer base has allowed him to negotiate more cost-effective deals with telecommunication providers. As of earlier this month, Twilio was supporting nearly 20,000 customers, five times as many as it did in January of this year. With the more simplified cost structure in place, Lawson believes that interest in the service will skyrocket.

When asked why he disclosed the new pricing structure and volume discounts on the company’s website, rather than allowing for negotiation on a per-customer basis, Lawson told TechCrunch that Twilio’s business is based on transparency.

In related news, Twilio announced last week that it has adapted its API to offer customers a few new services, including the capability to search for phone numbers directly from the interface using vanity names. The company has also added several case studies to its website in an effort to give developers a window into how the solution can help them improve the functionality of their application.

For more information on the startup world in the communications space, check out ITEXPO West 2010, which kicks off on October 4 at the Los Angeles Convention Center.  

At the upcoming event, industry leaders, investors, developers and media will converge to network and validate entrepreneur pitches at StartupCamp, Communications Edition, an energetic, unique setting that spotlights early-stage innovators in the communications field.

Beecher Tuttle is a Web Editor for TMCnet. He has extensive experience writing and editing for print publications and online news websites. He has specialized in a variety of industries, including health care technology, politics and education. He received his bachelor's degree in English from the University of Colorado.

Edited by Beecher Tuttle


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