Today, I downloaded snapchat. This is not the first time that I have downloaded the app. I had it for a brief time when it was in its infancy stages back in 2012. I used the app during my college days when I was single trying to chat up girls using snapchat as a means to build a rapport with the ladies whom had peeked my romantic interest; my only other use of the app was to message my friends about discrete matters. Besides these few uses snapchat wan’t really an app that I connected with. After spending a year teaching in China I quit the app entirely because using the app in communist china is tough without a VPN, but that’s another story.
In the short time since I have stopped using the app it has gained a lot of followers. Millennials all over the world have fell in love with filters, augmented reality, and the diverse social uses of the app. After being the only camera app with so many social features Facebook became their only true competitor when they introduced similar social aspects with updates made to Instagram. Instagram has become much more profitable after being acquired by Facebook, but it seems that Snapchat has already created a loyal following that are not willing to switch to the alternative that Instagram offers.
Snapchat has not publicly released any information about their earnings but from some of valuations that have been given to Snapchat people really believe that Snapchat can be very profitable. Personally, I am on the fence about the app.
Snap Inc. has made an attempt to get into the hardware market by producing a limited edition pair of sunglasses which connect cellphones and the app on people’s phones. It is a way to get people more avenues to share with their friends. To me this only appeals to a small number of people. Most people, myself included are not too thrilled about having sharing every little part of their lives. This is one of the reasons that Facebook has been so successful, due to their privacy settings.
With many tech companies apprehensive about President Trumps effects on the tech sector I find it to be an unfortunate time to decide to IPO. The app has quite a following but are the people that frequently use the app (Millennials) willing to buy into the add machines that are created when social media companies IPO, because at the end of the day all social media companies only thrive when companies are buying ad space in their apps.