Yahoo! to buy Snapchat
We are talking a lot about Facebook,Google and companies like these, but we keep forgetting there is another player on the market, one that had at some point a huge success, but also managed to disappoint its fans. No clue yet? It’s Yahoo. We are talking about Yahoo!.
Recently Yahoo made a few lucky bets and managed to win some pretty intriguing sums of money. We are talking especially about the Alibaba investment, but also about the Tumblr deal.
If you are not up to date with these deals, let’s make a quick recap. Last year, Yahoo managed to acquire Tumblr for about 1.1 billion dollars. “I’m delighted to announce that we’ve reached an agreement to acquire Tumblr! We promise not to screw it up. Tumblr is incredibly special and has a great thing going. We will operate Tumblr independently. David Karp will remain CEO. The product roadmap, their team, their wit and irreverence will all remain the same as will their mission to empower creators to make their best work and get it in front of the audience they deserve. Yahoo! will help Tumblr get even better, faster,” said Yahoo’s CEO Marissa Mayer back in 2013.
Now, Yahoo is very interested in investing in another hot thing: Snapchat. This photo sharing app (is it OK if we call it like that) is becoming increasingly popular, so we believe Yahoo! is making the right decision here. It’s not a risk-free deal, of course. Snapchat is currently evaluated at $10 billion, which is a lot. Let’s not forget the fact that Snapchat is not very good at monetizing either, so Yahoo! will have to work on that.
Snapchat is three years old (or young) and we are sure there are many other potential investors.
Hopefully, Yahoo!, you won’t screw this up either. We have faith in you.