Snapchat turns down 1 billion dollars offer from Facebook

An offer made by Facebook to acquire Snapchat was recently turned down by the CEO Evan Spiegel according to WSJ. This move by Facebook signifies the ongoing war to survive. Social media users have been shifting from text to images and pictures. Users prefer to share photos and this trend has seen major acquisitions such as Waze which was acquired by Google, Instagram which was acquired by Facebook and Snapchat which is proving elusive to the giants. Facebook released their own version of photo-sharing application named poke last year to keep the younger demographic engaged.
Why would Facebook want to acquire Snapchat
Probably the motivation of this move stems from claims made by Snapchat that 350 million photo chats are sent by its users daily. This presents an opportunity for heavy revenue generation for Facebook.

The younger users are now shifting their interest from blogging to photo sharing. This makes photo sharing apps like Snapchat a worthwhile venture. 

No comments:

Post a Comment