A longform Vanity Fair article has explored the possibility of Apple buying Snapchat’s parent company, Snap. It argues that such a move would “make sense for both companies”.
Apple does not have any real foothold in the social media space, the article reads, with iMessage described as the closest thing Apple has to a social platform.
The two companies share a rival in Facebook – Apple because of its status as another tech titan, and Snap because of Instagram’s integration of ‘Stories’.
Snap, as the smallest company of the three by far, could benefit from the “added muscle” of an Apple partnership.
Apple has approximately $300 billion ready to spend, while Snap is valued at $22 billion.
Both companies share a passion for augmented reality, and Snap is seen as the market leader there in many respects.
The acquisition is said to be more likely than an (often rumoured) Apple takeover of Twitter, as Snapchat comes with far less stigma and user hostility (something Apple would struggle to align with its family friendly marketing).
If the companies do not partner, they may end up fighting for the same attention in the augmented reality space.
Evan Spiegel, CEO of Snap, is described by the author as a ‘product CEO’. His frequent innovations could benefit Apple immensely, it is noted.
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