Snapchat have decided to sell their shares on the stock market. This move is planned to generate $3,000,000,000 for the company which some researchers say is at its peak value. Obviously selling stocks when the company is worth the most is the best plan of action and is a “buy-out” for the owners of the Snapchat who must not be planning to grow anymore than they currently have.
The rapidly growing mobile application boasts almost 160 million daily users and allows its users to send pictures (predominantly “selfies”) to their friends. Snapchat was originally created with the ideas of these images disappearing after a few seconds but has changed over time. The application now allows for text chats which allow for images to stay until the user closes the chat and several other new ideas. The company is credited for popularizing certain image filters such as rainbows coming from people’s mouths and face swaps. These types of filters are commonly used by celebrities and sometimes uploaded to rival applications such as Instagram.
With Snapchat now selling their stock, this could lead to a decline in updates for the application and possibly lead it on a downward slope. Only time will tell what is in store for this application and the founders.