Multiple news outlets are reporting that Snapchat is raising funds from investors based on a $10 billion valuation for the disappearing messaging service.
The Wall Street Journal, citing unnamed sources, reports that the venture-capital firm Kleiner Perkins Caufield & Byers agreed to invest in the app maker at a valuation of nearly $10 billion. Bloomberg News, also citing unnamed sources, reports that the startup is in talks for a round of financing at a $10 billion value. TechCrunch is reporting a similar figure.
The valuation could not be confirmed by TIME and does not suggest that any single buyer intends to pay that amount. The company uses the valuation to determine the share of ownership it gives investors.
But if true, $10 billion would represent an enormous valuation for a company that has effectively no revenue source. The Snapchat app, which does not have ads, is the third…
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