US-based social network Twitter is set to launch a strategic investment arm following the appointment of Anthony Noto as its chief financial officer, Reuters reported on Tuesday.
The corporate venturing unit, described as similar to Google Ventures, will be overseen by Twitter’s previous CFO, Mike Gupta, in his new role as senior vice president of strategic investments.
Gupta joined Twitter in 2012 from social gaming company Zynga where he served as senior vice president of finance and treasurer. He was also SVP of corporate development and finance for Yahoo between 2003 and 2011.
Twitter has made a steady stream of acquisitions over the past five years, but the move into funding startups is likely to have been decided in the aftermath of its $1.8bn initial public offering in October.
There have been no official details concerning the name of the unit, or where Twitter will be planning to invest, though Gupta’s new job title indicates that it will be seeking strategic fits rather than high returns.
The nature of Twitter’s recent acquisitions – it bought Namo Media and TapCommerce in the past month for a combined $150m – suggests this will involve targeting companies developing mobile and native advertising technology.