It’s not a stretch to say that most people started out using Snapchat to send nudes. But who would’ve thought then that the discreet picture sharing app would soon become one of the dominant social media platforms in the world? No one, that’s who.
Well, no one except maybe Snapchat co-founder and CEO Evan Spiegel. The 26-year-old internet entrepreneur created Snapchat with friends Bobby Murphy and Reggie Brown while they were still attending Stanford University. Now, Spiegel is running Snap Inc. His meteoric rise through the industry is astounding as was Snap Inc.’s recent IPO.
So now that the dust is beginning to settle a bit, how much is this captain of industry really worth?
Even Spiegel’s Net Worth as of 2019: $4 Billion
How did the barely-out-of-college businessman up his net worth to an estimated $4 billion, according to Forbes? Let’s take a closer look.
In 2011, Spiegel, Murphy and Brown created Snapchat. While the idea was undoubtedly brilliant, Spiegel and company were not yet making real Eff You money. Snapchat was quickly becoming one of the most popular apps in the world, yet bumps in the road were unavoidable.
On December 31, 2013, Snapchat was hacked and 4.6 million usernames and phone numbers were leaked to the internet. The company later reached an agreement with the Federal Trade Commission (FTC) following the leak. This ordeal exposed some of the app’s security issues, but did not significantly impact the company’s continued growth.
In 2014, Spiegel and Murphy started planning a massive IPO for Snap (the new and improved name for Snapchat) worth a potential $25 billion. This move made them look downright prophetic after they had previously turned down a $3 billion acquisition offer from Facebook.
Snapchat went public on March 2, 2017 under the symbol SNAP on the New York Stock Exchange.
The company priced its initial public offering (IPO) at $17 a share, giving the company a market valuation of around $24 billion (more than double that of rival Twitter and the highest US valuation of a tech company since Facebook in 2012). Siegel sold 16 million shares in Snap’s IPO, bringing in about $272 million. Even after the sale, Siegel still owns north of 210 million shares, worth around $3.6 billion. As Chief Executive of Snap, Siegel will receive an additional 3% of shares as a bonus over the next three years. This is worth an estimated $633 million.
As of the afternoon of Thursday, March 2, Snap was trading at $24 a share, a 41.2 percent increase from its opening price.
All told, this makes Siegel worth around $4 billion.
CEO and Founder of Snapchat, Evan Spiegel has a lot to work for in 2018 to make his million dollar application a worldwide success.
Evan Spiegel, Snap CEO recently stated that Instagram makes people feel “terrible” because they have to “compete for popularity” but Snapchat doesn’t.