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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.

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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.

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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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YouTube Originals Released Post September 24 to be Free with Ads

The video-sharing site, in an email to Premium subscribers, said that Premium members will have early access to the shows, along with bonus footage

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FILE - Silhouettes are seen in front of a Youtube logo, in this picture illustration taken in Zenica, Oct. 29, 2014. VOA

Months after confirming that its Originals programming would soon be free with advertisements, YouTube has finally announced content released after September 24 will be available to non-YouTube Premium subscribers as well.

“The new freemium model for YouTube’s original content begins after September 24, 2019. All YouTube Originals series, movies, and live events moving forward will be free to watch with ads for ‘non-members’.

“However, there will be tiering system where Premium subscribers ‘get immediate access to every episode of a new season’ for binging. Free watchers will have to wait for each new instalment to be released,” 9to5Google recently reported.

YouTube, Google, google services
The YouTube Music app is displayed on a mobile phone in Los Angeles. VOA

The video-sharing site, in an email to Premium subscribers, said that Premium members will have early access to the shows, along with bonus footage.

Also Read: DP Ruto Says He’s Ready to Face Raila in 2022

This is being seen as the Google-owned video sharing platform’s new “Single Slate” strategy and comes at a time when most other media companies such as Netflix and Amazon Prime are putting content behind paywalls. (IANS)