Snap is also giving up its office lease in San Francisco, a person familiar with the matter told Insider. The company is is focused on monetizing users, revenue growth, and getting more older users onto the app, sources told Insider, with its advertising department operating in a 'code red' mode.

Spiegel said in May that Snap was slowing down hiring, before introducing sweeping layoffs that covered around 20% of staff and shutting down projects.

This comes amid struggles with its advertising business as well as its user growth appearing to stagnate. The number of daily active users on Snapchat is still growing, reaching 363 million as of the end of September with 19% year-over-year growth, but the rate of growth is slowing down. The loss included $155 million in restructuring charges, it said. Spiegel, in May, warned of dire times to come, saying in a memo that macroeconomic challenges were leading to a growth slowdown at Snapchat, noting there has been a significant cutback in digital ad spending owing to the toxic combination of rising interest rates, sky-high inflation, supply-chain challenges, and the war in Ukraine.Snap, Snapchat's parent company, posted a net loss of $360 million for the third quarter, up from a $72 million loss during the same quarter in the previous year. It has also shut down its Web3 team in the past month, along with several projects including a social mapping app an app that would have allowed people to write songs collaboratively and a drone selfie camera. Snap has announced plans to lay off roughly 20% of its staff and reportedly plans to give up its San Francisco offices. This comes as user growth is stagnating, but hasn’t quite come to a halt. The company recently posted a $360 million quarterly net loss and has been having trouble attracting advertisers. While the losses are on paper and both founders are still billionaires, the sharp drop underscores Snapchat’s troubled position in the social media space these days. 21, 2021, and currently is worth about $2.3 billion.Ĭofounder and CTO Bobby Murphy saw his worth fall 81% to $1.9 billion, per Bloomberg. Evan Spiegel, who is also CEO of the company, has seen his net worth fall 83% in the past year, as of Friday, according to Bloomberg.

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