Why is Snap buying a location data platform?

by bold-lichterman

The parent company of Snapchat, this social network with 249 million monthly active users, seems to want to bet on the potential of its “Snap Map”, or Snap Map. After the addition of “Local Lenses” this summer, Snap has just acquired the New York-based startup specializing in location data StreetCred, for an unknown amount. The social network aims to make the most of the Snap Card which, according to it, brings together 200 million users per month.

StreetCred was created in March 2018 under the leadership of Diana Shkolnikov and Randy Meech, two alumni of Samsung’s mapping department, Mapzen. After raising a million dollars in seed money from Bowery Capital and Notation Capital, the young startup that is developing a collaborative mapping service collecting location data is closing its doors, while the management team integrates Snap. This takeover will allow the social network to evolve on its products linked to the Snap Map, which already offers the possibility of sharing its position with friends and viewing public stories in certain areas of the map.

In recent months, Snap has increased acquisitions and new features in the hope of innovating in the face of terrible competition from TikTok and Instagram which attracts young people in droves. A forerunner on the “story” format, which most social networks have taken up, Snap recently bet on voice technologies with the takeover of the Israeli startup Voca.ai in early November 2020, then that at the end of November of the British application Voisey, specialized in voice filters.