Some hurdles stand in its way, however. The ability to continually grow its user base and advertising were cited as prominent risk factors in Twitter's filing. Generating a strong revenue stream on mobile in particular is critical for Twitter, given that 75 percent of its users accessed the site on a mobile device in the three months ended June 30, 2013, according to the filing.
A Twitter IPO had been expected for some time. The company revealed via tweet on Sept. 12 that it had filed plans for an IPO. But the initial filing was submitted confidentially to the SEC under the JOBS Act, giving Twitter a chance to prepare its paperwork away from the public eye. With the filing now public, Twitter must wait 21 days to begin its "road show" to seek funding from investors.
Twitter said it will list its shares on the Nasdaq Global Select Market or the New York Stock Exchange, suggesting it's not committing yet to one market or the other. Facebook went public on the Nasdaq, which was subsequently sued over problems it had on the first day of Facebook's trading.