Ron Burgundy Posted November 20, 2015 Share Posted November 20, 2015 By Heather Somerville SAN FRANCISCO (Reuters) - Snapchat, maker of a free mobile app that lets users send videos and messages that disappear in seconds, is struggling to gain traction with advertisers, fuelling investor concern that its $16 billion valuation isn't justified by a business that hasn't yet shown it has a steady source of income. Fidelity Investments' decision to slash the estimated value of its Snapchat stake by 25 percent in the third quarter exacerbated concern about the company's ability to meet advertisers' expectations. For Snapchat advertisers, the question is whether prices that can reach more than $500,000 for some ads is worth it when the company lags competitors in targeting specific consumers and measuring how ads perform. View the full article Quote Link to comment Share on other sites More sharing options...
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