NYTimes is reporting that tomorrow, Twitter will be announcing the much-anticipated plan for making money from advertising. This they will be doing using what they have termed as "Promoted Tweets".

The advertising program, which Twitter calls Promoted Tweets, will show up when Twitter users search for keywords that the advertisers have bought to link to their ads. Later, Twitter plans to show promoted posts in the stream of Twitter posts, based on how relevant they might be to a particular user.

And how do you choose which Tweets get promoted, Twitter has come up with a Resonance score using which it will determine which Tweet needs to be pushed as promoted post. From the same article:

Twitter will measure what it calls resonance, which takes into account nine factors, including the number of people who saw the post, the number of people who replied to it or passed it on to their followers, and the number of people who clicked on links.
If a post does not reach a certain resonance score, Twitter will no longer show it as a promoted post. That means that the company will not have to pay for it, and users will not see ads they do not find useful, Mr. Costolo said.

While I feel that if done right this will be a win-win for all as Twitter plans to roll this out to Third Party Developers, like John Battele, I also saw the following in the same article.

...Companies will “be able to increase awareness in that instance when the iron is most malleable,” said Anamitra Banerji, who manages commercial products at Twitter.
If a new movie is getting negative reaction, the studio could use the ads to link to a positive review, for example.
...
In the next phase of Twitter’s revenue plan, it will show promoted posts in a user’s Twitter stream, even if a user did not perform a search and does not follow the advertiser.

Now this is little scary with the kind of example given above. I value the reviews/recommendations of my immediate friends and then the friends (who I don't know personally but are revered and I follow because I feel they are the authority, people like Scoble, Dave Winer etc). If my friends or "revered" friends are giving negative feedback about a Movie, a positive tweet coming from Studio is a farce/distraction and something I won't appreciate in my timeline. Also, the Promoted tweet in this case will be very difficult to ignore unlike online banner/image/text ads thus negating the whole tweet reading experience. I hope Twitter would be looking at all such scenarios. Overall I am excited about the new revenue model coming from Twitter. If done right, it will enrich the Twitter eco-system and benefits all - Advertisers, Twitter Client Developers, End Users and Twitter ofcourse.