3. Financials
● $485,000 in seed money from Lightspeed
Venture Partners
● In June 2013, $60M from Institutional
Venture Partners
● In November 2013 Google Offered $4B
● $0 in revenue to date
4. History
● Started by Reggie Brown and Evan Spiegel
April 2011
● One billion photos shared, November 2012
● Appointed board member Michael Lynton
from Sony
● Turns down $4B from Google
5. What’s Hot?
● Snapchat “story”
● Larger text
● Instagram style filters and “smart filters”
6. Secret Sauce
● Sharing pictures that can’t be reshared or
reviewed without your knowledge.
● Making picture sharing faster and simpler
than SMS texts
7. Interesting Story
Spiegel and Murphy
have worked on dozens
of projects together and
started the failed venture
“Future Freshman”
together.
8. Competition
● Facebook Poke - Released to directly
compete with snapchat and to scare
snapchat into selling
● Instagram’s individual sharing feature -
allows instagram users to send photos to
each other directly
● Neither have anywhere near the daily usage
of snapchat
9. Plans to Make Money
● Advertisement - Could be annoying and
cause the loss of users
● Virtual Goods - Hard to convince users that
there is value in this kind of thing
10. Prediction
● Snapchat will not generate enough revenue
to live up to it’s $4B valuation
● They will continue to have high daily usage
but will struggle to expand beyond the
original idea
