But in a statement, a spokesman for Twitter appeared to dispute Everett’s version of events, saying the company has no problem with Twitpic’s name.

“We’re sad to see Twitpic is shutting down,” the spokesman said. “We encourage developers to build on top of the Twitter service, as Twitpic has done for years, and we made it clear that they could operate using the Twitpic name. Of course, we also have to protect our brand, and that includes trademarks tied to the brand.”

So, Twitter would let them keep the name, but not the trademark? That’s how it seems to me.