NEW YORK (TheStreet) -- Twitter (TWTR), in an effort to boost the value of its advertising platform, is rolling out its first automatic, ad-playing videos, following in the footsteps of Google (GOOGL) and Facebook (FB), according to The Wall Street Journal.
The company has been testing out the auto-play function for several months, and now, when users scroll through their Twitter feed, videos will begin to automatically play while muted, the Journal noted.
The way videos appear is similar to Facebook's videos, which was introduced in 2013. Currently, Facebook's videos are generating about four billion video views a day, according to the Journal.
The auto-play video represents a "big financial opportunity" for the company as video ads command higher ad rates than traditional display ads, the Journal added.
However, "There are many places for advertisers to consider for video ads and the most of the focus is on YouTube and Facebook," said eMarketer's analyst Debra Williamson. "One of the things Twitter struggles with is reach because it is not as big as some of the other properties."
On Wednesday, Twitter shares are falling 0.28% to $34.73.
Separately, TheStreet Ratings team rates TWITTER INC as a Sell with a ratings score of D. TheStreet Ratings Team has this to say about their recommendation:
"We rate TWITTER INC (TWTR) a SELL. This is driven by multiple weaknesses, which we believe should have a greater impact than any strengths, and could make it more difficult for investors to achieve positive results compared to most of the stocks we cover. Among the areas we feel are negative, one of the most important has been unimpressive growth in net income over time."