This isn’t hidden from anyone that the biggest tech giant Google has repeatedly failed at social networking. However, it has tried multiple times to come with a social media platform but could not survive in the highly competitive market where social giants like Facebook does not leave any room for any newbie to come and grow. So, this nerdy Google considered buying the heartthrob of teens and animation pioneer SnapChat. The company reportedly offered SnapChat $30 million for its acquisition. To your surprise, this offer was made last year when the search engine giant was in talks with Snap secretively and offered this amount before SnapChat’s latest funding round and this year’s IPO show up; as reported by Business Insider. However, this news remained inside the Snap for about a year, and even after the IPO, it kept on the table and Google’s SnapChat could not become a reality.
Google’s SnapChat- Spiegel Doesn’t Think It’s A Good Idea!
On the other hand, the CEO and founder of SnapChat, Evan Spiegel has seemingly looked uninterested in selling its social networking app to Google or anyone else in the market. Despite the fact that the company’s market cap, declining around $15 billion hiking as high as $30 billion at the time of its IPO in May.
However, it is worth noting that since the news of Google’s SnapChat goes viral, the share price of SnapChat caught up a rise of around 2.3 percent. Which was continuously going down during the past couple of weeks because of lockup expiration and the outstripping growth of Instagram and Facebook Stories plus Whatsapp statuses that are Snapchat’s clone.
Both the Companies Didn’t Divulge It Yet:
Whereas, Google refused Business Insider to comment on this; and Snap stated it to be nothing but a rumor. May be Google’s SnapChat was the search engine giant’s preliminary wish; but did not rise to SnapChat’s high ranks.
The Two Companies Have Good Terms:
Moreover, Google has stopped its growth-stage investment fund Capital G for SnapChat; followed by the last year’s talks no result. Though it contributed up to $20 billion to its camera company. However, the two organizations have always been on good grounds of friendship. Also, the Google’s Chairman Eric Schmidt seemed to be advising Evan Spiegel on various issues. Snap also runs the software of Google Office; plus it has committed to spending over $2 billion on cloud hosting service of Google over the next five years.
As of now, the two companies did not want to disclose this news. And at the same time, Snap does not seem interested in getting its start-up acquired by any entity. But, we never know what the future will bring. As we have seen the company is not doing well when it showed up its last IPO. So, being a parent company of tech giants like Google with billions of ever increasing capital; can help Snap keeping an edge over Facebook and its almighty dollars.