More than $1bn was wiped off Snap Inc's market value on Thursday after a tweet from Kylie Jenner, a prominent celebrity user, criticised the app's redesign. The stock fell 6%, clearing $1.3bn from its market capitalisation.
Jenner tweeted on Wednesday: 'sooo does anyone else not open Snapchat anymore? Or is it just me ... ugh this is so sad.' Her disappointment echoed a wider user rebellion against the new features, which have also drawn a petition from over 1.2 million users.
The redesign shifted Snapchat from its previous split between 'messages' and 'stories' to a focus on friends versus publishers, aiming to promote professional content. However, users have complained that it made many features more difficult and introduced useless elements.
Snap Inc responded: 'We completely understand the new Snapchat has felt uncomfortable for many. This new foundation is just the beginning and we will always listen closely to find new ways to make the service better for everyone.'
CEO Evan Spiegel defended the changes, saying at a conference: 'One of the complaints we got was, “wow I used to feel like this celebrity was my friend and now they don’t feel like my friend anymore.” And we’re like: “Exactly. They’re not your friend.”' He added that it will take time for people to adjust.
