Snapchat raises $1.81B in latest round of funding

While many analysts still have doubts about Snapchat’s profitability, the social platform’s recent $1.81 billion USD funding raise indicates investors, including Sequoia Capital and General Atlantic, are confident that the app will figure things out. TechCrunch reports that its valuation is now $18 billion USD, according to a source.

Snapchat is a popular social app in which messages, pictures and videos quickly vanish after being viewed by the recipient.

TechCrunch claims a leaked pitch deck states that Snapchat brought in $59 million USD in total 2015, with the app only beginning monetization efforts in the latter half of that year. Snapchat is currently generating revenue through advertising – trying out new formats such as shoppable ads – and according to that same leaked deck, expects revenues of between $250 million USD and $350 million USD for 2016.

Related reading: Facebook Messenger could become more like Snapchat with rumoured self-destructing messages

[source]Reuters[/source]