How is this different from the metaverse? This allows users to occupy the same virtual spaces and play the same games. There are two key new updates: The first is the Lens cloud that lets developers build AR experiences for users, while the second lets users using the same AR lens interact with one another. The latest Snap Spectacles, Spiegel said, “change the way you interact when you can walk around and use your hands, and see computing brought to life.” On Thursday, its shares rose 6.4% to $28.81. It has been increasingly pushing into hardware devices such as its Spectacles, the first version of which debuted in 2016.Ĭurrently, Snapchat has 332 million daily users globally, and has a market capitalization of $47 billion. The new products, unveiled on Thursday, are part of an effort by Snap, Snapchat’s parent company, to branch out from its roots as a social media service. The stock has rallied 26% this year through Wednesday’s close after plunging 81% in 2022.Snapchat founder Evan Spiegel announced that new augmented reality features are coming to his company’s product Snap Spectacles, glasses that add a layer of augmented reality onto the real world, along with a drone that follows users and takes photos. The shares declined about 1% to $11.17 at 12:55 p.m. Meanwhile, Snap is making changes to its ad offerings this year that may drag on revenue in the first quarter. The company has already said that the slide in digital marketing spending that’s hurt the industry for the past year is leveling off. In the first quarter, analysts expect the company’s revenue to post the first-ever drop from a year earlier, while the amount of money Snap makes per user is projected to fall to the lowest in almost three years.

The numbers disclosed Thursday signal that the app can continue to expand its user base, which may help counter major declines in its digital ad business. Snap last year said it was scaling back operations and narrowing its focus to three priorities: adding users and getting them to spend more time on Snapchat jump-starting revenue growth and investing in augmented reality technology. Those investors will be listening for signs that the company’s plan to shift its strategy is paying off.

Snapchat ceo