Snap Bows To Economic Slowdown; Aborts Plum Drone Project

Snap Bows To Economic Slowdown; Aborts Plum Drone Project
  • Snap Inc SNAP stopped the development of its Pixy flying selfie camera less than four months after launching the product publicly, the Wall Street Journal reports.
  • Snap became the latest technology company to downsize product plans amid the economic slowdown. CEO Evan Spiegel reasoned that it was part of a broader reprioritization of company resources.
  • Snap introduced Pixy during Snap's annual partner summit with plans to sell a limited quantity. It will continue to sell the current iteration of Pixy.
  • Also Read: Wanna Get Your Hands On A Pixy Flight Pack Drone? Oh, Snap! You Are Staring At A Long Waiting Time
  • Snap posted its weakest-ever quarterly sales growth in July due to disruptions in the digital advertising market. Shares plunged almost 40% on those results.
  • Snap also battled Apple Inc's AAPL privacy policy, following which Snap lost 80% of its market value.
  • Peer Meta Platforms Inc's META Facebook migrated resources from its Facebook News tab and newsletter platform Bulletin to focus on TikTok rivalry and metaverse ambitions.
  • Alphabet Inc GOOG GOOGL Google launched initiatives to boost productivity while not ruling out layoff options.
  • Netflix, Inc NFLXTwitter, Inc TWTR, and Tesla, Inc TSLA downsized the workforce amid the slowdown.
  • Price Action: SNAP shares traded lower by 2.71% at $12.22 in the premarket on the last check Friday.
  • Photo by Souvik Banerjee from Pixabay

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