Facebook Inc. (NASDAQ:FB) is no doubt one of the largest social-media platform brands that exist in modern-day society. However, there are competitors coming out of the woodwork, one of the most concerning of which, to Facebook, is Snapchat.
However, Facebook is still in the lead, with their stock shooting up by over 240 percent since it was first released in May 2012. Furthermore, it was reported that since opening, Annual revenue and earnings have increased by sevenfold.
Will Snapchat manage to rock the boat of Facebook social media
Considering the recent release of Snap, the social-media platform has seen some astounding propulsion growth when it comes to the user database and revenue growth. The company reported that since opening its annual revenue growth has jumped from a mere $58.7 million to $404 million.
Furthermore, the company also reported that it is witnessing a rapid consumer database growth, regarding the number of users, that make use of the social-media platform. The latest fiscal quarter had a total reporting of 158 million users.
However, this is still astonishingly low, compared to the reported 1.86 billion users, who make use of the social-media giant Facebook. Although the rapid growth of Snap is proving to be a tricky concept for Facebook, after all, the student may become the teacher if things continue to follow their current trend.
The reason why Snap soon may be able to evenly rival with social-media giant Facebook
Snap, as a whole, has already reported that they expect a continuous growth of at least 50-percent of the company’s user database per annum. The company expects that if their current peak continuous, in the next few years, it may not be on par with their long-time rival, but they will be a lot closer to even footing.
In a statement, released from Snap executives, the following was stated, “We believe that reinventing the camera through our platform represents our greatest opportunity to improve the way people live and communicate.”