After acquiring Instagram Facebook is looking for a new acquisition. Now according to news Facebook wants to buy snapchat. Another billion dollar company? Snapchat refused acquisition offer because guys from snapchat thinks that their startup is worth more.
Is it a bubble or will it potentially be successful deal for Facebook? According to rough estimate of some experts growing phoro app snapchat is worth 3,6 billion of dollar. This is crazy cause they don´t have any revenue yet. In general pictures and photos seems to be cool. Pinterest is with a new investment valued to almost 4 billion US dollars. Do u think that this is new technological bubble or not?
In snapchat almost 350 million of photo messages are send. Is anybody using snapchat? I think nowaday messaging is leaning more and more towards sending pictures. This app is very sexy especially for younger users. Facebook had problems with retaining young users on their site. Facebook is not that cool for them anymore. From that perspective this deal would make sence for facebook.
Facebook was trying to something similar to snapchat. It was called Poke. Poke was not successful.
I think an acquisition of snapchat by Facebook is weird. Especially because I think Facebook is used for serious things, but snapchat is only used for funny things people like to share. Snapchat posts are also only visible for only seconds and Facebook posts are, in theory, for ever.
That’s why I think Facebook and Snapchat shouldnt cooperate by a take over. Where Facebook can have its profit by posting ads on their sites, snapchat can’t do that on their app. So in terms of profit it is not interesting for a company like Facebook.
Because of this, I also don’t think Snapchat has a high value. It’s just another social trend people are using but after some time they get bored, use it less and less, and Snapchat will be just another social app that died. This will result in a low value, so Snapchat is far to optimistic in calculating its value. You call it a technological bubble, and I agree on that.
Facebook doesn’t have all the things right this moment. Instagram didn’t grow as fast as they expected and the same thing will happen to Snapchat. The only reason to take over Snapchat is to ruin the platform and make it dissapear. But I think, as mentioned earlier, this will happen automatic, so Facebook shouldn’t do anything.
I have been using Snapchat for a while now. What’s cool about it is that its simple, fast and very basic in its layout. An acquisition of Facebook would surely boost the amount of active users on Snapchat in some countries, as it is very small today in the Netherlands for instance. Besides that it would also improve user friendlyness because one can simply open their Facebook friendlist and share. But besides all that I’m not sure what Facebook will actually gain with this acquisition. Merely user data I think, there are few advertisement opportunities in the app itself what makes it great. Snapchat should continue their own startup and development. Otherwise there lies danger of the platform weakening of even dissapearing.