When Snap Inc SNAP, the parent company of Snapchat, recently warned potential investors about its business facing “significant competition,” it shouldn’t have taken too many guesses for the market to determine who those competitors were.
Most prominently, the biggest challenger facing newly IPOed Snap is none other than Facebook Inc FB.
Facebook is giving Snapchat a run for its money by launching similar features to Snapchat on its own platform, which boasts approximately 1.86 billion monthly active users.
Snapchat-Inspired Features On Facebook
In a blatant copycat move, Facebook added Instagram Stories in August 2016, which has taken after Snapchat's hugely successful Snapchat Stories.
The vertical video ads Snapchat introduced in 2015 were added to the Facebook app in September 2016.
In its bid to go after Snapchat, the latest addition to Facebook's panoply of weapons was Status, which it added to its WhatsApp.
Moreover, Facebook CEO Mark Zuckerberg is attacking Snapchat from all sides with Instagram, WhatsApp, Messenger and the company’s namesake platform.
Facebook enjoys the financial clout to support its ambitions. Compared to Facebook's annual revenues of $27.64 billion in 2016, Snapchat earned only $404.48 million.
Statista’s Felix Richter recently questioned how Snap will manage to fend off its “personal Goliath.”
The Statista chart below explores the conundrum, laying out the Snapchat-inspired features recently introduced to Facebook's messaging apps.
Related Links:
Facebook Takes A Page Out Of Snap's Book... Again
How Can Social Media Ruin Your Case?
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.
