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From computerworld:

Ask any high school kid — soaring popularity loses some of its luster if more than half of your new friends ditch you after the first month.

And that’s the problem that Twitter Inc. executives are facing.

It seems that while people are joining the micro-blogging site in droves, a whole lot of them don’t sticking around for long. A Nielsen Co. report released yesterday shows that 60% of Twitter users do not return to the microblogging site the next month. And for the 12 months prior to Oprah Winfrey joining Twitter this month with great media fanfare, the site had a retention rate of less than 30%.

Twitter has grown exponentially, no one could dispute this. However, the company’s inability to monetize, combined with a retention rate under 40%, is troubling news for fans of Twitter.