Skip to main content

It’s Snap versus the world

It’s Snap versus the world

/

Snapchat’s parent company is looking increasingly outgunned in a league of bigger players. Also: notes on Google’s Gemini, Disney tying up with Epic Games, and more.

Share this story

If you buy something from a Verge link, Vox Media may earn a commission. See our ethics statement.

Snap CEO Evan Spiegel.
Snap CEO Evan Spiegel.
Illustration by Cath Virginia / The Verge, Photo by Bloomberg/Getty Images

It has been, needless to say, a rough week for Snap. 

The pain started Monday, with the announcement of layoffs impacting 10 percent of employees. On Tuesday, the company reported weak earnings that sent the stock price tanking 30 percent. You could hear the solemness in CEO Evan Spiegel’s voice on the earnings call, which lasted an unusually brisk 30 minutes. 

As I wrote in an October issue, the question of what happens to Snap remains a big one that many inside and around the company are wrestling with. On one hand, Snapchat has achieved a reach — 414 million daily users last quarter — that is rivaled only by a handful of other companies in the world. On the other, as the team at the investing research firm MoffettNathanson put it this week, “It is hard to see how Snap’s competitive position and financial profile gets materially better.”

Start your Command Line free trial now to continue reading

This story is exclusively for subscribers of Command Line, our newsletter about the tech industry’s inside conversation. Subscribe to a plan below for full access.

Already a Command Line subscriber?Sign in

We accept credit card, Apple Pay, and Google Pay. Having issues?Click here for FAQ