Want to know what came to mind when I read the article on Business Insider? I’d still tell you even if you don’t:
Reports by Business Insider have it that Google wanted to acquire the company for $30 billion in 2016, but a deal wasn’t reached. Remember, Spiegel famously turned down a $3 billion buyout from Facebook in 2013
After the talks between the two companies did not go anywhere, CapitalG, Google’s growth-stage investment fund, went ahead and invested in Snap Inc. in 2016.
Fast forward to 2017 and it seems that Snap should have taken the offer because the $30 billion buyout would value Snapchat at twice what the company is currently worth, at the moment, snap shares are trading around $12.50 which values the company at nearly $14 billion.
Over to you, if you were the key decision maker at Snap, would you have sold to Google knowing fully well that Google has tried its hands at creating a social platform numerous times over the last few years but has failed consistently.
Image Source: CNN Money