What is Snapchat?
Snapchat begain in 2011 when co-founder Evan Spiegel floated the idea as a final project for a product design class at Stanford University. In its first blog post, Siegel explained
From December 2012 to November 2014, Snapchat raised $143.5M in three rounds (Series A: $13.5 million, Series B: $80 million, and Series C: $50 million). By May 2015, Snapchat had gained 100 million currently active users, who send snaps at a rate over 400 million a day.It is also seeing 2 billion video views a day. Snapchat would continue to raise approximately $2.7 billion in subsequent rounds.
Its IPO filings revealed it has 158 million daily users, more than 10 billion daily video views and earned $404 million in 2016.
Based in Venice, California, the company has a mere 330, which gives it the highest valuation per headcount rate – even double that of Facebook. They recently opened a London office as its overseas hub.
Last fall they released Snapchat Spectacles.
- Eighteen percent of social media users in the U.S.
- The average user spends 25-30 minutes on Snapchat each day.
- Approximately 70% of Snapchat users are under 34 years old and female
- 45% of Snapchat users are between 18-34
- But . . . over 50% of new Snapchat users are over the age of 25 and growth among users 35 and older is greater than for 18- to 24-year-olds.
- Its more valuable than American Airlines, Best Buy, Ferrari, Hilton, Seagate, Twitter, United Airlines and Viacom.
- A rare VC-funded startup to get valued at over $1B.
- Second best opening day among recent IPO’s.
The Prayer of St. Francis
The investment gave Saint Francis about 2.1 million Class A shares in Snap. The school sold two-thirds of those shares at $17 each—the IPO price set by Snap last night—to raise about $24 million, it told Quartz today. The remaining third of its holding, roughly 700,000 shares, could be even more lucrative. Snap’s stock ended its first day of trading today at $24.51 per share, up 44%.