- Snap reports 125% surge in Spotlight watch time, fueled by creator content.
- Daily users hit 422M as Snap doubles down on AI.
- Revenue soars 21% to $1.195B, shares jump 26%.
In its Q1 2024 earnings release, Snap revealed a jaw-dropping 125% year-over-year surge in total watch time on Spotlight, its TikTok-like short-form video feed.
This impressive growth comes just a day after President Biden’s move to potentially ban TikTok if its Chinese parent company fails to sell within a year.
Creators take center stage
Snap attributed the overall increase in global content consumption to the impressive performance of Spotlight and creator Stories. The company has been fine-tuning its ranking models, resulting in improved content engagement.
CEO Evan Spiegel expressed Snap’s commitment to surfacing more topical content and nurturing the creator journey, from casual sharing to building a massive following and monetizing their content.
Snapchat’s daily active users climbed to 422 million in Q1 2024, a 10% year-over-year increase, while Snapchat+ subscribers more than tripled, surpassing 9 million.
Snap also plans to double down on generative AI models for creating Lenses, as the number of AI/ML Lenses viewed by users grew by over 50% year-over-year.
Show me the money
Snap’s revenue soared 21% to $1.195 million, marking a return to double-digit growth driven by improvements to its advertising platform and increased demand for direct-response ads.
With shares rising over 26% in extended trading, Snap expects modest headcount growth throughout 2024 after its February layoffs, positioning itself for continued success in the rapidly evolving social media landscape.
