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Thursday, October 4, 2018

Snap CEO tells employees to aim for profits in 2019, apologizes for 'rushed' redesign

Snap CEO Evan Spiegel outlined the company's goals for profitability in 2019 and apologized for its redesign in a 15-page memo sent to employees dated Sept. 26, Cheddar reported.

In the memo, Spiegel said that the redesign was "rushed" and outlined the other problems with the app. This led to the company's first decline in daily users. As he wrote, "The biggest mistake we made with our redesign was compromising our core product value of being the fastest way to communicate."

He also said that he has a "stretch goal" to break even during the fourth quarter of 2018 and become profitable in 2019.

The company's stock is trading at under $8 for the first time ever.

The company is working on new designs of its Discover section, which highlights professional companies and celebrity accounts. He also explained challenges the app faces from competitors and from growth.

To read the full memo, click here.

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