Snap Loses 5 Million Daily Users
Snap shares have plunged 14 percent after the Snapchat-owner posted its second straight quarter of user losses and forecast further declines. Snap’s main rival, Facebook’s Instagram, will reveal its results next week.
Snap’s user growth has stalled in the past two years as Instagram cloned some of Snapchat’s best features.
Snapchat reported only 186 million users in Q3, compared to more than a billion using Instagram. A redesign at the start of this year aimed at rebooting Snapchat spurred a backlash led by celebrity users, who threatened to boycott the photo-messaging app.
Snap’s daily users have declined by five million since Q1, which the company blamed mainly on the Android app rollout, with some analysts concerned that the losses could spill over to 2019.