Simply harness all those tweeted links and charge for them. They can do this in two ways:

1. Only allow http links through certain accounts that are paying for them. They can charge on a per-link, per-click, or subscription basis (or all three).

2. Create partnerships with sites that receive, or would receive, significant traffic from Twitter. For instance, a partnership with TwitPic would result in “free” links to TwitPic.com tweeted by Twitter users. TwitPic would pay for the traffic coming from Twitter and everybody is happy.

Twitter was just valued at $250 million. That was way too low.

Word is they shopped that valuation around to a some VCs and were turned down more than once. No problem. If they do play their cards right the valuation for that company will increase 4x, at least. What should they do?

First they should realize that Twitter’s real value is as a marketing platform for the entire Internet. Every blogger, sycophant, and social media butterfly is tweeting and retweeting links left and right. Ever heard of TwitPic.com or TinyUrl.com? Those companies are very young and grew very quickly for one simple reason:

Twitter link traffic.

The click through rate for Twitter links must be astronomical. TwitPic.com and TinyUrl.com (as well as many many others) have benefited from the tremendous traffic going through Twitter’s servers. TwitPic.com, for instance, seeing 1.8M hit per month, worldwide. Without Twitter most of these sites just don’t exist. And here is where Twitter becomes a billion dollar company.

Even if ev and jack already have another idea for income they should implement this one.

Consulting gigs welcome.