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Snapchat Decides to Raise $1bn for Filters, Content, Acquisitions

The company owes its financial escalation to some of its AR lenses like the baby lens and gender-change filters which had gone viral

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Snapchat is reportedly planning to launch more
Snapchat in a Smartphone. IANS

Photo-messaging app Snapchat has decided to raise a billion dollars in short-term debt to beef up its app with more Augmented Reality (AR) and media content.

The cash would also be invested to acquire other companies, Variety reported on Tuesday.

According to its plan, Snapchat would raise the money by offering $1 billion in convertible senior notes which would mature in 2026. At that point, the company would choose to pay investors in terms of cash, stock or a combination of both, the report said.

Snapchat CEO Evan Spiegel is bidding on the current low-interest rate environment as a good opportunity to complete the deal. He noted that the investor demand for convertible notes is strong.

Snapchat, smartphones
An image of the Snapchat logo created with Post-it notes is seen in lower Manhattan, New York, May 18, 2016. VOA

The company expects the fundraising to close later this week, the report added.

The announcement comes after the company recorded a 50 per cent revenue growth in the second quarter of 2019.

Also Read: Instagram Bans US Firm for Improper Data Collection: Report

For Q2, Snapchat announced a revenue up by 48 per cent to $388 million and a net loss of $255 million, which is way lesser than the net loss of $353 million in the year-earlier period.

The company owes its financial escalation to some of its AR lenses like the baby lens and gender-change filters which had gone viral. (IANS)

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Researchers Associate Social Media Use to Eating Disorder in Adolescents

Social media use linked to eating disorder in children

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Eating disorder due to social media
Excessive use of Social media platforms such as Instagram and Snapchat is linked with eating disorder among children. Pixabay

Parents, take a note. Researchers have found that excessive use of social media, particularly platforms with a strong focus on image posting and viewing such as Snapchat and Instagram, is associated with eating disorder in young adolescents.

For the study, published in the International Journal of Eating Disorders, researchers examined data on 996 grade 7 and 8 adolescents.

“While a range of studies have focused on the impact of social media on body image, this is the first to examine the relationship between specific social media platforms and disordered eating behaviours and thoughts,” said study lead author Simon Wilksch from Flinders University in Australia.

Also, most other studies had focused on older adolescents or young-adult women, he said.

Eating disorder in teenagers
Adolescents develop eating disorder due to meal skipping. Pixabay

The study on associations between disordered eating and social media use among young adolescent girls and boys suggested that much more needed to be done to increase resilience in young people to become less adversely impacted by social media pressures, Wilksch added.

During the study, the research team found behaviours related to disordered eating were reported by 51.7 per cent of girls and 45 per cent of boys, with strict exercise and meal skipping being the most common.

Of these, 75.4 per cent girls and 69.9 per cent boys had at least one social media account, and Instagram was the most common.

Also Read- Fake News Spreads Like Wildfire On Social Media

According to the study, greater number of social media accounts and greater time spent on them were associated with a higher likelihood of disordered eating, thoughts and behaviours.

The researchers are launching an Australia-wide trial of the Media Smart Online programme designed to combat such pressures. (IANS)