Yahoo Plans to Invest in Snapchat



Yahoo Plans to Invest

Flush with money from its investment in Alibaba, Yahoo is angling to buy into sizzling cell messaging startup Snap chat, the Wall side road Journal pronounced on Friday.

Yahoo has been in talks to take part in a funding round that may price Snap chat at $10 billion, however how so much it plans to speculate remained cloudy, according to the Journal.

A Yahoo spokesman declined to comment.

In a smart transfer led by using Yahoo co-founder Jerry Yang in 2005, the California internet agency paid 1000 million bucks for a 40 p.c stake in Alibaba that has paid back the funding many times over.

Unconfirmed studies surfaced prior this year indicating that Chinese e-commerce large Alibaba had been bearing in mind investing in Snap chat.

Yahoo Plans to Invest in Snapchat: Report

Snap chat rocketed to popularity, especially amongst teenagers, after the initial app used to be released in September 2011. Created via then Stanford college students, the app lets in the sending of text and photograph messages that disappear seconds after being viewed.

The company had last year rejected a buyout provide from Facebook, judging the $3 billion provide too low, US media experiences have stated.

Snap chat has also been courted via other investors and would-be consumers, including a gaggle led with the aid of Chinese language web giant 10 cent.

Message Me snapped up
talk of Yahoo being excited about Snap chat got here the identical day that Yahoo sold the startup behind mobile messaging software Message Me for a value pronounced to be within the “double-digit thousands and thousands.”

“The crew in the back of Message Me has joined Yahoo,” a Yahoo mentioned in an electronic mail reply to AFP.

“They built a cellular messenger utility desirous about personalization and creativity, and we’re excited to welcome the eight Message Me workers to the Yahoo team.”

Message Me tested the acquisition at its web page and informed customers the appliance will shut down in November to free the group to focus on building cell communications merchandise for Yahoo.

Yahoo chief Marissa Mayer has been on a lengthy shopping for spree backed by way of cash pumped into the company’s coffers by way of Alibaba.

Mayer has been striving to re-invent the corporate as an online venue for top rate, personalized con10t after its web search service crown was once taken by using Google.

Activist funding firm Starboard price meanwhile advised Yahoo remaining week to discover a tie-up with on-line rival AOL, pronouncing such a deal could help the struggling web pioneer “unlock” worth for shareholders.