Tech

Snap plummets 30% as earnings slide

Published

2 years ago

February 8, 2024

Ahron Young

Snap Inc saw its shares nosedive by 30% during Wednesday morning trading following its fiscal fourth-quarter earnings report, which missed revenue estimates and provided weak guidance.

The sharp decline comes as the social media giant faces challenges in rebounding from a tough advertising market in 2022, lagging behind competitors like Meta.

This downturn marks one of Snap’s worst days on the market since its debut in 2017, with previous significant drops of 43% in May 2022 and 39% two months later.

Despite reporting a quarterly revenue of $1.36 billion, slightly below analysts’ expectations of $1.38 billion, and an adjusted EPS of 8 cents versus the anticipated 6 cents, Snap continues to struggle with sluggish growth, marking its sixth consecutive quarter of either single-digit growth or sales declines.

Remain cautious

While Snap forecasts an uptick in growth for the first quarter, analysts remain cautious, with Morgan Stanley maintaining an underweight rating and lowering their price target to $11.

They cited Snap’s slower-than-expected ad turnaround and weak engagement, especially in comparison to the robust ad improvements observed at Meta and Amazon.

Snap attributed some of its challenges to external factors, noting that the conflict in the Middle East had a negative impact on year-over-year growth in the fourth quarter.

Despite these setbacks, Barclays analysts expressed optimism, maintaining an overweight rating and a $15 price target, likening Snap’s current state to Meta’s position five quarters ago, on the cusp of a recovery.

Underweight rating

JPMorgan analysts reiterated their underweight rating but raised the price target to $11, emphasizing the need for Snap to demonstrate stronger growth in engagement and its ad platform amidst the choppy recovery evident in its latest earnings and outlook.

In an interview on CNBC’s “Money Movers,” Snap CEO Evan Spiegel acknowledged the challenges but expressed confidence in the company’s trajectory, citing improved advertiser performance and increased revenue expectations. Spiegel also addressed Snap’s recent decision to reduce its workforce by around 10%, stating that the move aims to streamline operations and facilitate faster decision-making.

The market’s response to Snap’s earnings underscores investors’ concerns about the company’s ability to navigate the competitive landscape and deliver sustainable growth amid evolving advertising dynamics.

Tech

OpenAI Unveils ChatGPT Atlas: The Future of Browsing?

Published

3 days ago

October 22, 2025

ticker NEWS

OpenAI has taken another giant leap forward with the launch of ChatGPT Atlas — an AI-powered web browser that could redefine how people search, explore, and interact online. Investors and competitors are watching closely as this new technology challenges the dominance of traditional browsers like Google Chrome.

With ChatGPT Atlas, users may soon experience a web that feels less like typing into a search box and more like conversing with an intelligent assistant. The integration of AI could make browsing faster, more intuitive, and more personalised than ever before — but it also raises serious questions about privacy and data use.

As AI becomes more deeply embedded in the digital world, ChatGPT Atlas could represent the next major step toward a fully AI-driven online experience. What does this mean for users — and for the tech giants trying to keep up?

Tech

OpenAI limits deepfakes after Bryan Cranston’s concerns

OpenAI protects against deepfakes on Sora 2 after Bryan Cranston and SAG-AFTRA raise concerns over unauthorized AI-generated content

Published

4 days ago

October 21, 2025

Ahron Young

OpenAI protects against deepfakes on Sora 2 after Bryan Cranston and SAG-AFTRA raise concerns over unauthorised AI-generated content

In Short:
– OpenAI partners with Bryan Cranston and unions to combat deepfakes on its Sora app.
– The app now includes options for people to control their likenesses and voices.

OpenAI announced it will work with Bryan Cranston, SAG-AFTRA, and actor unions to combat deepfakes on its AI video app, Sora.Cranston voiced concerns after unauthorized AI-generated clips featuring his likeness emerged after Sora 2’s launch in late September. He showed gratitude to OpenAI for taking steps to safeguard actors’ rights to control their likenesses.

The partnership aims to enhance protections against unauthorized AI content. The Creative Artists Agency and United Talent Agency had previously criticized OpenAI, citing risks to their clients’ intellectual property.

Last week, OpenAI blocked disrespectful videos of Martin Luther King Jr. at the request of his estate, following similar pressures. Zelda Williams also requested the public refrain from sending her AI-generated clips of her late father, Robin Williams.

Policy Changes

Following tensions post-launch, CEO Sam Altman revised Sora’s policy to give rights holders greater control of their likenesses.

The app now allows individuals to opt-out, reflecting OpenAI’s commitment to respond quickly to concerns from performers.

OpenAI backs the NO FAKES Act, supporting legislation that aims to protect individuals from unauthorized AI-generated representations.

OpenAI is focused on ensuring performers’ rights are respected regarding the misuse of their voices and likenesses. Altman reiterated the company’s dedication to these protections.

Tech

Major apps down as AWS experiences global outage

AWS outage disrupts Fortnite, Snapchat and multiple services globally

Published

4 days ago

October 20, 2025

Ahron Young

AWS outage disrupts Fortnite, Snapchat and multiple services globally

In Short:
– AWS outage on Monday disrupted major apps like Fortnite, Snapchat, and affected several global companies.
– UK companies including Lloyds Bank and Vodafone reported issues due to the AWS outage.

Amazon’s AWS experienced a significant outage on Monday, impacting major apps including Fortnite and Snapchat. The disruption affected connectivity for numerous companies globally.AWS reported increased error rates and latencies across multiple services and is attempting to recover quickly.

The outage marks the first significant internet disruption since a previous incident last year that impacted essential technology systems globally. AWS offers on-demand computing and storage services and is vital for many websites and platforms.

Multiple companies reported disruptions, including AI startup Perplexity, cryptocurrency exchange Coinbase, and trading app Robinhood. Perplexity’s CEO confirmed on X that the outages were linked to AWS issues.

Amazon’s shopping site, Prime Video, and Alexa services also faced difficulties, according to Downdetector. Other affected platforms included popular gaming applications like Clash Royale and financial services such as Venmo and Chime.

Uber competitor Lyft’s app was reported down for numerous users in the U.S. Messaging platform Signal also acknowledged connection problems stemming from the AWS outage.

British Companies

In the UK, Lloyds Bank, Bank of Scotland, and telecom services provider Vodafone were notably affected. The HMRC’s website also encountered issues during this outage.

Elon Musk stated that his platform, X, remained operational despite the widespread disruptions.