Friday, September 28, 2018

Why Snap will get acquired before 2020, probably by Amazon -- Recode

From the first episode of the new Swisher/Galloway Pivot podcast; full transcript at link below
"“People talk about how its stock has gotten crushed, but it’s still got a market cap of $13 billion,” Galloway added. “So I believe the stock gets cut in half again, but any acquisition is sort of an eight or a 10 billion dollar check. And there’s a limited number of companies that can buy a company that’s not making a lot of money for eight to 10 billion dollars.”

He ruled out Facebook and Amazon, leaving only two potential acquirers in America: Google and Amazon. And he believes Amazon, which just launched a commerce-focused partnership with Snap, makes more sense than Google, which has repeatedly failed in social media
“I think Bezos says, ‘Alright, you have a core constituency that buys stuff and buys stuff irrationally,’” Galloway said. “High-margin coffee, flying knit tennis shoes, they’re crazy. We love teenagers because they’re stupid because they spend all their money.”"
Why Snap will get acquired before 2020, probably by Amazon -- Recode

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