Snapchat owner Snap Inc. has had a rough go of it lately. Its stock, which hit the market at $ 17 per share (and peaked at $ 29.44) during its initial public offering in March 2017, is in the gutter-a high of $ 6.54 so far in 2019. It's seemingly hit a wall in growth, and it's still bleeding cash.
According to Reuters, sources at the company say "what was once unthinkable" namely, that big a change) or simply become permanent (a much bigger change).
While the changes would push more content on Snapchat to more eyeballs, the company is not about to abandon self-deleting posts whatsoever. Reuters wrote that the changes were just posted to snapchat's "Our Story" feed, and users would still be able to delete them:
Only Snapchat photo
Snap has http://www.sapgate.sourceforge.net/public/news/news/news/news/news/news/news/news/news/news/news/news/news/news/news/news/news/news/news/news/news/news/news/news/news/news/news/news/news/news/news/news/news/news/news/news/news/news/news/news/news/news/news/news/news/news/news/news/news/news/news/news/news/news/news/news/news/news/news/news/news/news/news/news/news/news/news/news/news/news/news/newsletter/newsletter.php?lang=de&topic=1&topic=1&topic=1&topic=1&topic=1&topic=1&t that is currently in the process of being changed from privacy, technical, and legal angles. The news agency thus wrote that the proposed changes to be motivated in part by Snap's partnerships with "news discovery platforms" (i.e., services that spot trending news for media companies). […]
In. They are intended to make things easier to recycle. "
In other words, Snap would really like it if more people embedded its content into blogs, news articles, other social networks, and the like, which would provide new advertising opportunities. It would also, in theory, position itself in the Covington Catholic video. As Reuters noted, Snapchat has already been released 90 days ago, up from the 30's when the feature was originally introduced.
Of course, this is the first time Snapchat has been released. who are infamously touchy. On the other hand, holy cow this company is burning through a lot of money . In Q3 2018, it reported a negative free cash flow of $ 158 million, which looks good because of its Q2 2018 negative free cash flow of $ 234 million. TechCrunch reported that it only had $ 1.4 billion in assets remaining at the end of that quarter, and with analyst MoffetNathanson estimating it will loose $ 1.5 billion in 2019 alone, Snapchat could run out of money well before it's projected to break even in 2020 or 2021 . "MoffetNathanson's Michael Nathanson wrote, via Bloomberg."
"We do not see reaching profitability in the near future unless there are substantial expense reductions." "In 2019, Snap has had to make some moves to ensure it has the liquidity to stay in business."
Snapchat has thus been losing users. It posted a three million daily user loss in Q2 2018, then lost two million more in Q3 2018. Snap has been brutalized by Facebook Instagram, which has 400 million daily active users. A poll in October 2018 found that Snapchat in monthly use among teens, as well as many more of them, preferred to contact them about the latter, CNBC wrote.