Twitter co-founder, Biz Stone, denied rumours that Google is attempting to purchase Twitter.

The Google-Twitter deal rumours have become a topic of heated debate and discussion over the last couple days. And it seems that depending on who you talk to, Google is both in late stage and early stage talks with Twitter about a possible acquisition. Suspiciously the sources remain anonymous – which immediately makes the situation doubtful.

To add some clarity before a rumour like this breaks out of control, Biz Stone spoke out and denied that there are any plans in place for Google to purchase Twitter, stating repeatedly on the Twitter Blog that Twitter’s aims are to remain independent.

“Our goal is to build a profitable, independent company and we’re just getting started”

He also wrote on the same short blog post that Twitter regularly enters discussions with various companies, as does any business seeking to make revenue.

“It should come as no surprise that Twitter engages in discussions with other companies regularly and on a variety of subjects.”

So it appears as if the much speculated deal was simply a discussion between Google and Twitter about future revenue options. Something that is indeed not surprising as Google is arguably the king of monetizing its own services, and many people seem to think that there’s definitely money to be made with the deal.

“We’ve been arguing for some time that Twitter’s real value is in search,”

says Michael Arrington, who wrote about the rumour on Techcrunch which ultimately fueled the rumour to massive proportions.

“It holds the keys to the best real time database and search engine on the internet, and Google doesn’t even have a horse in the game.”

The cheif Executive of Google, Eric Schmidt, seemed to indicate the an acquisition wasn’t on the cards, at least not at the moment

“I’m not sure prices are at their low yet, the situation globally is pretty dire. We are certainly looking. We haven’t seen anything yet that was really exciting.”

So rather than an acquisition, Google is possibly thinking of entering a revenue sharing deal with Twitter? Nothing is sure currently.

Check back for updates, this is a developing story.