Snap CEO Rallies Workers on Ad Business Amid Stock Drop
- Snap’s stock is down almost 50% on ad business struggles
- Social media app will begin testing new advertising formats
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Snap Inc. Chief Executive Officer Evan Spiegel is trying to rally employees amid a 48% drop in the stock this year, telling them in an internal letter that the company is on pace for record annual revenue and will continue to press forward on augmented reality.
“You may be wondering why, with all of the progress we’ve made in our business over the last year, our share price performance has lagged the overall market,” Spiegel wrote Tuesday in the letter. “The answer is simple: our advertising business is growing slower than our competitors.”