Spiegel said that automation will help the company make more money for advertisers.
“People are going to copy your product if you build great stuff,” he said. “Just because Yahoo has a search box doesn’t make it Google.”
Facebook, in particular, has pushed aggressively into Snap’s turf. Boss Mark Zuckerberg told analysts that Instagram Stories has 200 million daily active users, and WhatsApp Status has more than 175 million daily active users.
As a whole, Facebook has 1.28 billion daily active users, nearly eight times as many as Snapchat.
Other revenue sources, like Spectacles, have hardly made a dent in the company’s business. Analysts surveyed by Thomson Reuters expect Snap to post a per-share loss through the end of 2018.
Snap has not made great gains in the markets, trading mostly below the high of $29.44 in its first week of trading. Indeed, the stock fell as low as $17.07 after hours, just 7 cents above its IPO price, as shares changed hands in heavy volume.
When Facebook, Yelp, Twitter and LinkedIn reported their first quarterly results as public companies, the stocks fell by an average 14.1 percent the next day, according to Jim Strugger,