Pay for Snapchat?
CEOs Call It Quits
On Tuesday, FCC Commissioner Brendan Carr asked Apple and Google to remove TikTok from their app stores. "TikTok is not just another video app," Carr wrote. "It harvests swaths of sensitive data that new reports show are being accessed in Beijing."
The Point: First things first. This isn't an order from the FCC. At least not yet. Right now, it's merely a request, though Carr asked the two tech giants to provide statements to him by July 8th if they choose not to comply. In the letter, Carr said that "at its core, TikTok functions as a sophisticated surveillance tool that harvests extensive amounts of personal and sensitive data." That's a serious accusation to make, albeit one that is seemingly supported by independent reporting. According to Forbes, TikTok was the most popular app of 2021, with 656 million downloads. For comparison, Meta's Instagram, the number two app by the same measure, claimed 545 million downloads. Meta has already set out to copy TikTok's features in a bid to close that gap. If Apple and Google remove TikTok, Meta will be in prime position to absorb its user base.
Snap is rolling out Snapchat plus this week. For $3.99 a month, subscribers will get access to exclusive features, including designating a friend as a "BFF" and seeing who has rewatched stories.
The Point: The Verge said Snapchat Plus is "mostly a cosmetic upgrade." So don't expect much here. It sure seems like Snap is keeping its expectations low. The company's SVP of Product said he doesn't expect the new offering to become a "material new revenue source." To that end, the $3.99 per month fee won't allow subscribers to escape advertisements. Across the board, social media platforms are suffering from cuts to corporate ad spending. Paid offerings might not provide much relief, but it's at least an attempt to diversify their mostly one-track revenue models.
According to Yahoo Finance, U.S. corporate chieftains are quitting their jobs at a record pace.
The Point: By now, you're undoubtedly familiar with the term "Great Resignation." But the conversation around the record number of Americans leaving their jobs has focused chiefly on everyday workers. But according to Yahoo, executives are also quitting in droves. "Around 668 chief executives have left their posts since January, according to Challenger Gray and Christmas, a global business and executive coaching firm," Yahoo wrote. "That's the highest January-May total since the firm began tracking monthly CEO changes in 2002." So what's the takeaway? Well for starters, expect drastic changes in corporate strategies as new leadership takes the reigns during the most turbulent market in over a decade.
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