URL shortener failure

From tr.im

tr.im is now in the process of discontinuing service, effective immediately.

Statistics can no longer be considered reliable, or reliably available going forward.
However, all tr.im links will continue to redirect, and will do so until at least December 31, 2009.
Your tweets with tr.im URLs in them will not be affected.

We regret that it came to this, but all of our efforts to avoid it failed.
No business we approached wanted to purchase tr.im for even a minor amount.

There is no way for us to monetize URL shortening — users won’t pay for it — and we just can’t
justify further devleopment since Twitter has all but annointed bit.ly the market winner.
There is simply no point for us to continue operating tr.im, and pay for its upkeep.

We apologize for the disruption and inconvenience this may cause you.

I wasn’t actually aware that bit.ly had been endorsed by Twitter.  So what?  How is bit.ly going to monetize their product where tr.im cannot?  What will happen when bit.ly also fails?  The solution hasn’t changed, Twitter should create or buy an URL shortener and use it internally to keep URLs short.  The key is that URLs are only shortened inside the Twitter message bus and store, end users should never see anything except full URLs.  The shortener should be an internal implementation detail.