Snapchat declined acquisition for more than $1B

Snapchat declined an offer for selling the company to Facebook for more than $1B USD.
http://blogs.wsj.com/digits/2013/10/25/snapchat-mulls-raising-money-at-3-4-billion-valuation/

What are your thoughts about these kinds of businesses?

My thoughts if i was the owner? ...I would have dropped it like a hammer and ran with he money
What more could they expect form this?

Here is why:

Phones are so personal at this point that mobile advertising platforms will/have been finding this out the hard way.
Its not like Facebook where ad models that were created in the past were proven to turn profit. Mobile advertising is not only more difficult to get results but viewed as much more invasive by the user. Think about it, when you get a spam SMS or even a pop up ad on your phone its like they're insulting you by finding you in such a vulnerable/private part of your life. Especially with an app designed to connect friends so privatley. Its cute and all...but where is the money exactly?

So when i hear numbers like 1 BILLION i think to myself: Who says that this app wont be old news before seriously profitable mobile ad models have been created?

Not to mention i think the tech side of things is relatively poor at this point. I get videos that wont open. Sometimes when i open videos the screen is black....Still many flaws.

The golden rule is never forget the end goal. For some people the goal is to be the next Jobs or something... but for me, The tech/marketing game has always been about cashing out and living comfortably. Oh well, to each his own and i wish them the best.

I can't believe they walked from this. Anyone remember Groupon walking away from theirs? Look at them now...

If I was the owner I would have sold it but I am glad not being the owner that they did not sell. One last website to fall prey to
large ones. Diversity is good.

how much does one person really need. i mean cmon, a billion dollars! you can chill for the rest of your life on that.

i totally understand if you have a business and someone offers you a couple million but you believe you can grow it to more.

but a billion! thats just crazy money.

Finally a smart start up. Clearly if a Google or a Facebook wants to buy you, you should NOT sell.

codexehow said:

Finally a smart start up. Clearly if a Google or a Facebook wants to buy you, you should NOT sell.

Click to expand...

Groupon obviously had the same thought process as you and I guarantee the decision makers of that deal are regretting it now.

i wouldnt pay $18 dollars for it, ive been Snubbed too many times

Maybe being the owner of a successful app brings more joy to them than money.

I wonder if the recent hacking of snapchat is related to this. lul.

mdsurf said:

how much does one person really need. i mean cmon, a billion dollars! you can chill for the rest of your life on that.

i totally understand if you have a business and someone offers you a couple million but you believe you can grow it to more.

but a billion! thats just crazy money.

Click to expand...

haha, I could chill for the rest of my life on less than $10,000,000.

thats a smart business owner. Fuck FB. That little female dog Mark Zuckerburg. Selling out to the banksters. Like a PUNK!

This company is obvious a threat to facebook and it would save them money to purchase it. It is not the product that makes the company it is the bodies that run it. Ballzy move by not selling it maybe they see the same thing facebook does. Good on them!

Uhm the offer was mostly in stocks not cash and we all know how mark do with depleting stock value