Snap, Inc’s public status means we have much more information on Snapchat’s financials: including heavy net losses of $372.9m in 2015 and $514.6m in 2016 alone.
Striking big content and advertising deals with big media companies is a key part of the company’s ambitions to move into profit, with the latest such partnership announced overnight.
Time Warner says it will be launching a range of original shows for Snapchat, as well as upping its spending on ads. TechCrunch claims the company will be spending around $100m over the next two years, keeping 50% of any advertising revenues around the shows, with Snapchat taking the other half.
The original shows will be 3-5-minute vertical-video programmes around drama, news, documentaries and comedy, while the ads will be for brands including HBO, Turner and Warner Bros (so for existing TV shows and films, basically). The news sent Snap’s stock up 2%, lifting it back above its $17-per-share IPO price.