It’s a well known fact that we have been surrounded by technology in almost all aspects of our lives. With buzzwords such as AI, deep learning, blockchains coming every month, technology now commands a lot of attention. And not in a good way. By surrounding, I mean a constant bombardment. By commanding attention, I mean controlling us.
The basic premise of Soren Malpass’s The Value of a Snap was that we will be looking at another dot-com crash if today’s venture capitalists keep up their current investing habits. The author questioned the valuation of a number of well-respected unicorns and specifically targeted newly-public Snap, arguing that the service that Snap offers doesn’t justify its (at the time) $28 billion valuation. Frankly, I think the analysis of the industry, and Snap’s business specifically, was lazy. Here are my qualms with the skepticism over Snap’s valuation:
1. The idea that a business cannot be legitimate if it only relies on advertising revenue is ludicrous.
I have it, and if you have a smartphone, chances are you have it too. The little app that allows you to send timed photos to each other. But wait! You can also view little articles on Snapchat too, some can even be interacted with on the most basic level! Truly revolutionary.