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Titans have not always existed in EVE. For a long time the pilots had been exploring the space  on small ships - frigates and cruisers; battleships were the most powerful ships and cost an enormous amount of money at that time. There were no massive battles and no global division of territories; the players used to fly in small little groups, and only fought with close neighbors. But the more has been developing EVE, the larger and stronger has been becoming ships in it.
First, the developers have introduced second level cruisers and destroyers into the game, then battlecruisers, and after them - dreadnoughts - giants, already capable of destroying heavy equipment and even bases. And in December 2005 there was released the expected free upgrade Red Moon Rising, which introduced three new types of strongest ships: aircraft carriers, motherships, and Titans.
Even the first two giants (aircraft carriers, motherships) were causing tremor in any pilots on  simple ships, but none of them could match the strength of a Titan. The latter has a huge hold, capable to house a fleet, a special mechanism to create a jump gate, XL class torpedoes and cannons, a device for recovery, the weapon "Judgement Day" for mass destruction, bonuses for the ships of the allies - a set to dream of. However not any eve character can pilot this ship. It takes nearly 1 year to learn all the necessary skills for piloting a Titan, and it takes 1 more year to to be able to pilot it really well.
Construction of the ship takes many months, requires special docks and just an incredible amount of resources. At that time they appeared, a Titan was worth around 90 billion eve isk (the in game currency), or almost $ 10,000 of real money, and that's excluding the cost of installed modules. Only the most powerful alliances could afford such vehicles. The first Titan ship was built in 8 months by the largest alliance of that time ASCN, was given the name "Avatar", and its pilot became the head of CYVOK alliance.