A single tweet released by Kylie Jenner is being credited for tanking a tech giant’s market value.
Last Thursday, Snapchat lost 1.3 billion dollars in market value shortly after the socialite tweeted the following message to her almost 24 million Twitter followers: “so does anyone else not open Snapchat anyone? Or is it just me…ugh this is so sad.”
Kylie Jenner reportedly has the most-viewed channel on Snapchat, and with those simple words, the social media app’s stock dropped 6%. It seems the half-sister of Kim Kardashain wields a social media influence that would make even President Trump grow green with envy.
Of course, the plummeting market value could simply be a coincidence. The app is facing criticism for a recent update and massive redesign. CEO and founder Evan Spiegel acknowledged the backlash but hopes the update will eventually attract new users. However, loyal Snapchat users have not exactly embraced the new design. A Change.org petition has been created with over 1,000,000 signatures asking the company to remove the new update.
Because that’s how Change.org was intended to be used: gripes about social media applications.
Jenner had previous complained about the new app design on Twitter. “Mm just saw that new Snapchat..I don’t know how I feel about it! What do you guys think?”
Others apparently share Jenner’s sentiment, including former Sports Illustrated Swimsuit model Christine Teigen who tweeted. “How many people have to hate an update for it to be reconsidered?”
A better question would be, how many celebrities does it take to bring down a company? Maybe one.
Daniel Ives, chief strategy officer and head of technology research at GHI Insights, thinks the update was necessary and the declining market value is nothing to worry about. "We believe this is an overreaction as Wall Street is hypersensitive to the app redesign," he told CNN. "With roughly 25 million followers, [Jenner] carries a loud mouthpiece that speaks to today's knee jerk reaction in shares."
Snapchat may have made a fatal error not consulting with Kylie Jenner before redesigning their application.