Making something people want to pay for, of course, is the challenge, and Twitter Blue is a very limited start to that. But for the position Twitter has come to occupy in culture, a bold product vision could leverage that to incredible effect.
The fact that you don't know about it should say something about how enthusiastically the feature was received. Most creators are probably happier with their existing Patreon/OF platforms.
It's clearly not, since it's still one of the largest social networks in the world.
I'm not a fan of twitter or social networks in general, but it's clear that they are used by a teeny hundreds of millions of people more than some celebrities.
So there probably won't be a competing offer.
Reddit gold is an example of how to nail something like this, because it was done with tremendous sensitivity to the culture of the site. It's quirky, slightly ironic, riffs on the obvious silliness of a 'gift' that goes 99% to Reddit's coffers, and it's perfectly pitched to the user at the point where they are already feeling the value of Reddit's product & the other user's content. Twitter's, by contrast, is an example of how not to do it, for the converse of all those reasons and more besides.
Putting both together could be incredibly lucrative but also would be treated very cautiously because of potential deplatforming.
Musk actual commitment to minimal moderation (what my mental model is for his free speech bent) could thread that needle and at the very least be a fascinating experiment to watch from the sidelines.
Ironically, this suggests that people like Elon Musk are exactly the problem with Twitter.
They could actually make a phenomenal amount off of subscription revenue tho off of that model, doesn't really make sense for any of the FAANG's strategies but I could see it making a lot of money with competent management. Twitter Blue is one of their best ideas in a long time, but should be more expensive and have more features.