Snapchat receives a fresh funding worth $537M, valued at around $16B

31 May 2015 | Author: | No comments yet »

Snapchat gets $537m in fresh funding.

The vanishing-message service did not disclose who bought stakes in the Los Angeles-based company, which came at a price estimated to give Snapchat a value of more than $15 billion, according to media reports. “We need to IPO, we have a plan to do that,” chief executive officer Evan Spiegel said on-stage at a Code Conference in California when asked about the potential for an initial public offering of stock. SAN FRANCISCO: Snapchat on Friday informed US regulators that it has raised US$537 million (RM1.9 billion) in a new round of equity funding that could climb as high as US$650 million.Snapchat, the fast-growing messaging app, has sold $537 million in common stock to nearly three-dozen investors since mid-February — part of a hoped-for $650 million equity cash raise, the company said in a regulatory filing on Friday.

LOS ANGELES — Snapchat Inc. is ready to start collecting serious revenue from advertisers, but that doesn’t mean it’s done raising money from investors. Spiegel acknowledged plans for a Snapchat IPO during a talk in which he agreed with the notion there is a tech industry bubble that will at some point burst, with low interest rates, easy money, and risky investments calling for a “correction.” Smartphone app Snapchat late last year began letting users in the United States send money to friends by simply typing dollar amounts into new “Snapcash” messages. That’s despite the fact that investors were forced to take common stock, rather than preferred shares or other instruments that typically offer more protections to early-stage investors. The new service was added as Snapchat worked to boost the money-making capabilities of its popular app, which sees messages disappear shortly after being viewed. The unusual move by 24-year-old CEO Evan Spiegel hasn’t hurt Snapchat’s valuation, which has added $1 billion since a $200 million fundraising earlier this year that attracted investors including Alibaba.

The statements, comments, or opinions expressed through the use of New Vision Online are those of their respective authors, who are solely responsible for them, and do not necessarily represent the views held by the staff and management of New Vision Online. New investors in Snapchat, whose disappearing photo-sharing service is popular with the teen set, include Fidelity Investments, York Capital and Glade Brook Capital, according to CNBC. Both sides say they don’t want any military confrontation on China’s extensive coastal waters, but both are acting as if a military conflict is increasingly likely.

Such is the thesis of an important new book just out, The China Dream, by Professor General Liu Mingfu, a leading Chinese military thinker and commentator who speaks with the voice of China’s military. Vertically oriented trailers, about 10 seconds long, for the movie appeared in the National Geographic channel on Snapchat and the short cosmetics ads came inside the Cosmopolitan magazine channel. History is replete with examples of rising powers eventually going to war with the status quo powers resisting their rival’s economic and military growth. By 2030, China will be the world’s largest economy in absolute terms (today it rivals the US in purchasing power parity), regaining the geopolitical primacy it formerly enjoyed until the 1500’s when it was the world’s leading economic power.

He insists that China has no territorial ambitions and never will. “China suffered 470 foreign invasions within 65 years from 1840 to 1905,” asserts Liu, though incursions would be a more accurate term. America, according to the undiplomatic Liu, is a paranoid giant, afraid of the outside world and addicted to the need for enemies abroad. “Americans feel lost without any enemy.” Washington’s occupation and despoliation of so many countries, notably in the Muslim world, generates endless enemies and a war psychosis. Liu asserts that China is devoted to peaceful relations, non-interference in other nations, and the desire to help build world prosperity, not just its own power or political system. What’s more, Liu modestly asserts, China should lead world development since Chinese are more intelligent and cultured than any other people and heirs to a 5,000-year history!

Interestingly, Liu depicts the 1950 Korean War as a major victory for China because it showed that an Asian nation could fight off the world’s greatest military power. Second, as I read Liu’s panegyric to Chinese greatness and peaceful humanism, I kept recalling Lord Acton’s wise maxim about absolute power corrupting absolutely.

Here you can write a commentary on the recording "Snapchat receives a fresh funding worth $537M, valued at around $16B".

* Required fields
Twitter-news
Our partners
Follow us
Contact us
Our contacts

About this site